If you have $1,000 that you are willing to spend on building a crypto investment portfolio, the current trends show the one cryptocurrency you’ll want to focus on is XRP.
Make no mistake – this doesn’t mean you’ll be wrong to buy Solaxy or Bitcoin, as these coins are showing good price growth trends with no signs of slowing down. Buying Solaxy is straightforward – all you need to do is connect your crypto wallet to Solaxy’s official website.
However, it’s important to do your research and put your money in a place with the most potential for generating money in the long term. At the moment, that’s XRP.
XRP has one of the strongest investment theses in the crypto sphere. Issued by Ripple, XRP is worth your $1,000, as it’s fast, cheap, and well-integrated into the global financial systems. Financial institutions are tempted to use it to complete transactions, as XRP’s business model takes only a small portion of fees for every transaction completed through its blockchain.
The fact that international transactions can be processed quickly and affordably is what makes XRP so attractive to investors. To give you an idea of how that works in practice, imagine having to transfer funds from a bank in your country to a bank of someone living abroad.
Doing it in the traditional way would mean facing significant exchange fees, which can amount to 5% of the total money exchanged. On top of that, the sender would also have to pay international money transfer fees, which can go up to $50 per transaction. Make a few of these transactions and you’ll start bleeding money left and right.
With XRP, senders get to avoid all of these extra fees, not to mention close the transaction almost instantly. Remember – other transfer systems can sometimes take days for the money to go through.
The favorable transaction conditions of XRP make it appealing to individuals, as well as businesses. It provides a great return on investment (ROI) in the long run, helping the value of this cryptocurrency go up, alongside demand.
More and more financial institutions are choosing to use the XRP ledger, which, as of late, features a new USD stablecoin. This brings additional benefits to XRP’s users, as it successfully reduces the risks of volatility.
Buying XRP is beneficial whether you plan to hold it shortly or for the long run. Alongside Bitcoin, Ethereum, and Solana, XRP is one of the most compelling and lucrative choices for crypto investors, which is in stark contrast with the one cryptocurrency you should avoid – the Official Trump meme coin.
Hosted on Solana and recognizable by its sticker $TRUMP, this meme coin is one you should steer clear from – and this has nothing to do with your political views. Trump’s meme coins made almost $100 million in trading fees in nearly two weeks – an estimate received from three blockchain analysis firms.
Launched by the President himself on Jan.17, the cryptocurrency soared, reaching a market value peak of $14.5 billion in just two days. Unfortunately, despite an impressive start, small traders didn’t get the happy ending they were hoping for. Since the Inauguration Day, the meme coin slumped by two-thirds, causing huge losses for thousands of small traders.
So far, there haven’t been any official statements from the President or the White House that would address the trading fees. When asked about the fees, Donald Trump’s son, Eric Trump, didn’t provide a direct answer. Instead, he said that the presidential team is proud of their accomplishments in the crypto sphere, and concluded by saying they are just getting started.
As a reminder, Donald Trump made a promise that America will become the crypto capital of the world under his leadership. He is deeply immersed in the crypto landscape, as many of the members of his administration and circles have significant connections to the crypto sphere.
Trump’s meme coin isn’t the only one you should avoid investing in. Meme coins, in general, aren’t a very good option for your investment portfolio. They have certain pros, like great, tight-knit communities of people with great humor; however, they come with little real-world value and utility. They are also highly volatile, making them suitable only for those who like to take great risks.
If you must purchase meme coins, make sure you don’t overdo it. Allocate a maximum of 5-10% of your investment funds for these coins, and start small if this is your first venture into the crypto universe. Pump-and-dump schemes, market manipulation, and extreme volatility are only some of the features that make meme coins a highly speculative investment with little intrinsic value, so it’s best to put your money toward something a bit more stable.
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