The Full Comparison of Stellar (XLM) and Ripple (XRP)

Cryptocurrency is the form of digital money of the 21st century and it's becoming more and more popular. There are more than 24000 crypto assets now so it is necessary to know about the most widespread of them before investing. For all who are not new to the crypto market Ripple (XRP) and Stellar (XLM) are familiar. Both strive to offer inexpensive, quick transactions with minimal fees. They have different network structures and target audiences, though. In this article we will compare Ripple and Stellar and examine the characteristics that distinguish each in this thorough comparison so you can make the best choice for your needs and preferences.

Don't use this article as financial advice. Always do your own research while investing.

Ripple (XRP)

Ripple (XRP) enables global financial institutions, businesses, governments and developers to move, manage and tokenize value, helping to unlock greater economic opportunity for everyone, everywhere.

Source: CoinMarketCap

Ripple's main advantage is its ability to process transactions in seconds with low fees by utilizing its private network. Ripple's consensus mechanism Proof-of-Work consumes less energy than other cryptocurrencies and as a result lower fees. Ripple's market capitalization is more than $22 billion, what makes it one of the most valuable cryptocurrencies.

Stellar (XLM)

Stellar (XLM) is an open-source network optimized for payments and asset issuance. 

Source: CoinMarketCap

The Stellar network is fully decentralized, there is no third-party organization controlling the transactions as it's owned by the public. The main project's goal is to connect banks, payment systems and people with each other. Today the Stellar's market capitalization is over $2 billion. Like Bitcoin and Ethereum, Stellar relies on blockchain to keep the network in sync, but the end-user experience is more like cash — Stellar is much faster, cheaper, and more energy-efficient than typical blockchain-based systems.

XLM vs XRP which one to invest

Always remember that the choice of cryptocurrency always depends on your personal needs. If you need a more secure network that benefits financial institutions - Ripple will be your choice. But if you're looking for a more decentralized network that is focused on connecting the financial sphere, Stellar might be the one for you. 

No matter what you choose, the first thing you should think about before investing in cryptocurrency is a place where you can store it securely. Arctic Wallet is a multi-chain non-custodial crypto wallet that allows users to buy, sell and exchange Ripple XRP, Stellar XLM and more than 250 assets without any difficulties. 

Arctic Wallet
Source: Arctic Wallet Website

With Arctic Wallet you can easily access your digital currencies in one place and keep in touch with your portfolio.

Are Stellar XLM and Ripple XRP essentially the same thing?

Ripple and Stellar networks are often compared as they have a lot of similarities. But if we go deeper, we'll see that XLM is used to help unbanked individuals make trades on the Stellar network and Ripple was created specifically for banks and financial institutions to use as a store of value. 

Although there are similarities in these two networks, each serves different purposes.

If you're going to invest in Ripple or Stellar, the first thing you have to do is to understand the advantages and disadvantages of each cryptocurrency before making a decision.


Both Ripple XRP and Stellar XLM are included in the top cryptocurrencies of the market. Ripple aims to provide financial institutions with a centralized network and minimal fees, while Stellar focuses on connecting individuals and businesses in developing countries with a fully decentralized network. You need to understand the differences and similarities between these two assets, so you can make a deliberate decision based on your personal needs and preferences.

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