Guide for buying and storing Ripple (XRP)

Knowledgebase Forum - May 14th 2017

  1. crunchvictims

    crunchvictims

    Joined:
    Jul 2017
    From:
    London
    Crypto:
    XRP
    Hi Evo,

    So I have bought some XRP (Ripple) through Bitstamp. I still have a USD balance in my Bitstamp, as I am holding on to see if XRP drops in price so I can buy some more. Having read all the good advice above, regarding storing coins in a wallet, I decided to look at the various wallets on offer on a website called CryptoCompare. (there are many wallet choices). I notice there are many factors (Security, Anonymity, Easy of Use, Extra services etc.). You've recommended GateHub, but there seems to be a lot of negativity towards them?
    1. What is it in them that you see that is good?
    2. XRP appear to only have two possible wallets Gatehub and Ledger Wallet? Is having a hardware wallet better than a Windows based wallet?
    3. Why are there very few wallets available for XRP?
    4. Can XRP be converted to BTC via Bitstamp and then transferred into one of the many good BTC supported wallets?
    5. Are there costs involved converting XRP to BTC to a wallet?
    6. Having bought some XRP already, how do I now store them into a wallet? (I am slightly confused with this point), would I have to sell my XRP and transfer those USD I have in my account to a wallet and how can that be done in Bitstamp? I only see a wallet option in the Android app.
     
  2. evo

    evo Admin

    Joined:
    Apr 2017
    From:
    Seattle
    Crypto:
    BTC/ETH/XRP
    For this particular how to guide, I recommended Gatehub because they are the easiest hosted Ripple wallet solution for people who are not too savvy with tech. You can create your Ripple wallet, store your Ripple, and easily access it. Personally, I have had absolutely no problems with Gatehub and see no reason to use them, but as with any hosted wallet solution, you're biggest threat is trusting this company (Gatehub) that they aren't going to go under. I don't see that happening, but there's no recourse if they ever did.

    I do not store my Ripple (XRP) at Gatehub. I have my holdings stored in an offline wallet that I manage called Rippex. Here's a how to guide for setting up and storing your Ripple (XRP) using a Rippex wallet.

    To answer your specific questions:
    1. Gatehub is the only option that is currently available to store your XRP in a hosted wallet that's not on an exchange, which makes it the most convenient option for people new to cryptocurrency. I use and recommend exchanges for buying and trading crypto, but not for storing your long term positions. While cryptocurrencies are decentralized, exchanges are not! So when it comes to Ripple, Gatehub is the best online hosted solution, but my personal choice for a wallet is Rippex, as it's offline cold storage that I completely manage, and still allows me to immediately send/receive XRP in and out of my wallet.
    2. There's nothing wrong with a hardware wallet. The pros to a hardware wallet is theoretically you can install the hardware wallet on a computer loaded up with every virus and malware possible, and the encryption on the hardware wallet will protect your balance and you can still safely send/receive your funds. The negative though is you are trusting that a) you won't lose your hardware wallet, and b) your hardware wallet will always continue to work in the future. You can circumvent these concerns by purchasing and syncing a second hardware wallet so you have an identical copy, and safeguarding and protecting your wallet's secret key in the event you need to restore your wallet to a brand new hardware wallet in the future. Given these concerns, I believe a paper wallet / cold storage to be the best option, which leads me back to Rippex. Create a Rippex wallet, safeguard and protect your wallet address, password, and secret key and your funds are safe. But of course, the downside with a paper wallet is it's only as safe as your computer so it's your responsibility to make sure you don't have any viruses or malware that could be potentially threatening to the access of your funds.
    3. It has to do with volume, and Ripple has only recently exploded onto the scene. At one point earlier this year, Ripple passed Ethereum as the second largest cryptocurrency based on market capitalization, but has cooled off and has settled into third place. The reality is Bitcoin is the largest cryptocurrency, as it has the longest running blockchain and the greatest network affect. Because the largest community is with Bitcoin, that's where the first round of wallets and support will always be. However, after that entry point, companies usually add support for additional cryptocurrencies. It's my hope that we see more Ripple support in the upcoming 12 months, and I think realistically that will happen as more people get into crypto. We are so far to the left of the bell curve right now that it's still early stages in all of this.
    4. Yes. You can always send your XRP to the exchange of your choice and use the XRP/BTC pairing to trade your XRP to BTC. From there, you can do whatever you want with your BTC - trade it, withdraw it, etc.
    5. When you trade XRP to BTC using an exchange, the exchange will charge a nominal fee to make that trade. This is the norm for any trading of any cryptocurrency and the fees are small. Once the trade has occurred, there is no charge for storing your crypto. The exchanges will charge a very small withdrawal fee to send your crypto to another wallet off their exchange, as there is a required gas fee to push the transaction through the blockchain.
    6. If you own XRP and plan to keep your position in it, do not sell it or trade it for BTC. Keep it, because you already have the XRP, and you want to minimize your fees. Your next step is to create a XRP wallet (Gatehub, Rippex, etc.) and transfer your XRP from Bitstamp to the wallet you created. And that's it, your Ripple (XRP) is now being stored at that wallet you created. And from there, you can hold it for the long term, and at any time you can send XRP back to Bitstamp to convert to BTC or sell to fiat. And at any time, you can always keep sending more XRP to your newly created wallet.
    Here's a how to guide for storing Ripple on a hardware wallet, but I prefer storing Ripple using a Rippex wallet.
     
    jjitalex and crunchvictims like this.
  3. crunchvictims

    crunchvictims

    Joined:
    Jul 2017
    From:
    London
    Crypto:
    XRP
    Thanks EVO for your great responses. I am going to look into Rippex, I do fancy controlling things myself. Exciting stuff this cryptocurrency. Great forum.
     
    evo likes this.
  4. Investocoin

    Investocoin

    Joined:
    Jul 2017
    From:
    UK
    Very helpful article on ripple, it was very helpful information for me.
     
    evo likes this.
  5. monjere

    monjere

    Joined:
    Jul 2017
    From:
    New Zealand
    Crypto:
    The ones going UP, UP, UP!
    Hi,
    Nice post. Interesting.
    I have a Gatehub wallet. I am a "newbie" to crypto C.
    All was good. Verification easy , about 3 hours. First deposit from a Broker i purchased XRP off all good. Created a new secondary wallet and transferred some XRP to it all good. Used exchange and got a little BTC for some XRP, all good.
    Then i purchased some BTC through Coinmama. The process there went ok , purchased , paid , they processed and sent it on its way.
    Problem is it has not shown up in my Wallet and it is 7 hours later.
    Is this nomal for Gatehub? I looked at FAQ and they say 2hrs approx.

    I am beginning to wonder if I did something wrong.
    I used my wallet wth the Gateway BTC enabled (also trusted)
    I pressed send/recieve and selected BTC and was given a destination/wallet address to send the BTC to.
    Gave that info to Coinmama (after checking it numerous times)
    So i feel i ran the correct process.

    As you can see im trying a few different things to learn. Not easy to get the info you require to get into crypto C as there are so many opinions out there. Just got to research and then try.

    Any ideas why it would not yet have shown up?

    Any help much appreciated.

    PS - i want my crypto under my control.
    Hard to trust these days and crypto C still a bit "wild west"
    I ordered a Ledger nano S H/W wallet. Looks good.

    regards
    PB
     
    Last edited: Jul 26th 2017
    evo likes this.
  6. monjere

    monjere

    Joined:
    Jul 2017
    From:
    New Zealand
    Crypto:
    The ones going UP, UP, UP!
    Update - I did nothing wrong. YAY!

    The BTC showed up , it just tool 10 hours ish.

    So i have had no issues with Gatehub other than the speed of their processing deposits.
    Also Coinmama did as they were supposed to , provided my BTC after my CC purchase.

    I had read a couple of negative reviews on both sites.
     
    evo likes this.
  7. evo

    evo Admin

    Joined:
    Apr 2017
    From:
    Seattle
    Crypto:
    BTC/ETH/XRP
    I'm happy to hear your BTC arrived. Have patience with the speed of transferring Bitcoin at the moment, because the BTC blockchain is extremely stressed out these days. I had a transfer that took multiple days before it showed up... it's nerve racking, to say the least. This has been a negative thing when it comes to BTC, especially as user adoption has increased. The upcoming hard fork that happens at the end of this month should give the blockchain the necessary room to handle the increased transaction volume, so things should/will only get better.
     
  8. ffoxx

    ffoxx

    Joined:
    Aug 2017
    From:
    california
    Hi! I'm new to crypto- bought some ripple, transferred it to a paper wallet, it shows up on bithomp- but I didn't create any destination tag. Is that a problem? Will I need to create one to get it off my paper wallet?
    p.s. why is this so damn complicated?
     
  9. alex

    alex

    Joined:
    Sep 2017
    From:
    California
    My friend sent some XRPs from his Bitstamp to my XRP account with Kraken. We've both accessed to Bitstamp and Kraken accounts from the same laptop, so we were both quite sure that the XRP address and destination tag copied XRP were both correct. Nevertheless it has been 14 days still no XRP on my Kraken account. The weirdest part of the process was an email link confirmation ( you need to click on it to confirm transaction) that was received from Bitstamp which had a different destination tag that the one he copied/paste from my Kraken account, however he realized that after couple days when we both started to worry and dig deeper to find out where the XRPs had disappeared. So far no response from Bitstamp side. Kraken is no responding either (((. What was the issue with this transaction? is it possible that my Kraken account has not been activated with 20 XRP so those XRP are pending somewhere with Kraken? Is so what is the solution to this issue?
     

Share This Page