Researcher SMQKE recently cited documents emphasizing how Ripple interacts with existing financial structures. Unlike most cryptocurrencies, Ripple is designed as a system of connection rather than replacement.
Ripple's Interaction with Traditional Financial Systems
The document emphasizes that Ripple is not intended to replace networks such as SWIFT, but rather to connect them. This positioning defines Ripple as a complementary system that integrates into existing financial mechanisms.
Integration into the Banking Industry
Ripple targets large banks and financial institutions as its primary clients, embedding its technology into systems already relied upon by the financial sector. This sets Ripple apart from traditional cryptocurrencies aimed at the general consumer.
Privacy Advantages and XRP Tokenomics
The document highlights that the platform offers complete anonymity, which is a significant advantage for banks. Unlike many other blockchain systems that emphasize transparency, Ripple provides a level of privacy that aligns with the confidentiality requirements of financial institutions.
Thus, Ripple is presented as a system actively integrating into banking infrastructure, with unique privacy advantages and mechanisms that contribute to the deflationary token nature of XRP.
