Cross-chain tools, Educational November 18, 2025

Is Ripple the Same as XRP? Here’s What You Need to Know

TL;DR

Ripple (often called Ripple Labs) is a technology company that builds blockchain payment solutions, whereazs XRP is the digital cryptocurrency that runs on the XRP Ledger they helped create.
They share a name and history, but Ripple is a privately-held fintech company and XRP is a token.

Ripple vs XRP — Quick Definition

What is Ripple Labs (the company

Ripple Labs, Inc. (now simply Ripple) is an American technology company that offers enterprise blockchain products on the XRP Ledger and other networks. Founded in 2012 (originally as OpenCoin), Ripple develops payment solutions (such as RippleNet with tools like xCurrent, xVia, and xRapid) that banks and institutions can integrate to enable fast cross-border payments. Ripple is a private firm (with offices worldwide) and is not a cryptocurrency itself. You cannot “buy Ripple” as a coin on crypto markets – it’s a company. A frequent beginner question is, is ripple the same as XRP, which this article clarifies.

What is XRP (the digital asset)

XRP is the native cryptocurrency of the XRP Ledger (XRPL), an open-source distributed ledger launched by Ripple Labs. Created in 2012, there were 100 billion XRP tokens minted at launch and no more will be created. XRP was designed as a fast, low-fee bridge currency for cross-border payments. It enables near-instant transfers between different fiat or cryptocurrencies, acting as a “bridge” so banks don’t have to hold many different currencies. In short, XRP is a digital token used on the Ripple network; it is not equity or stock in any company.

Because they both use the term “Ripple” (XRP was originally called “the Ripple digital asset”), many people mix them up. But the company Ripple and the token XRP are separate entities. As Swissquote explains, “Ripple is the company (Ripple Labs) and XRP is the native cryptocurrency of the XRP Ledger”. The confusion is understandable, but always remember: Ripple = company, XRP = crypto token.

How Ripple and XRP Are Related

Ripple built the XRP Ledger: In 2012, Ripple Labs (Ripple) helped create the XRP Ledger (also known as the Ripple Protocol). The XRP Ledger is a decentralized blockchain platform, and XRP is its built-in currency. Ripple continues to develop and maintain technology around this ledger. In fact, Ripple Labs’ products (like xRapid) are designed to use XRP as a liquidity source on the XRP Ledger. So in a sense, Ripple invented the system where XRP operates, but the ledger itself is open-source, and anyone can use it. When you ask is ripple the same as XRP, remember that development origin links them but does not make them identical.
Ripple’s XRP holdings: When XRP was created, 100 billion tokens were minted. The original creators of XRP allocated 80 billion of them to Ripple Labs, keeping 20 billion for themselves. Because of this, Ripple (the company) controls a large portion of the XRP supply. To manage this, Ripple placed tens of billions of XRP into time-locked escrow accounts. For example, in 2017, Ripple locked up 55 billion XRP in escrow, planning to release tokens gradually. Ripple can sell portions of its XRP holdings over time to fund its operations. As Flash Payments notes, Ripple’s value is “intrinsically tied” to the market price of XRP because of this large holding.
Distinct but intertwined: Although Ripple (the company) uses XRP as a core part of its products, the two are not the same. The XRP Ledger runs independently, and XRP can be used by anyone (not just Ripple’s partners). However, Ripple’s development efforts and its large XRP holdings mean the company and the token influence each other.

Key Differences at a Glance

This table summarizes the key differences between Ripple and XRP:

Aspect	Ripple (Company)	XRP (Digital Asset)
Purpose & Function	Ripple Labs is a fintech company that builds blockchain payment technology and enterprise solutions. Its products (RippleNet) facilitate fast bank-to-bank transfers.	XRP is the native cryptocurrency of the XRP Ledger. It was created to be a fast, low-fee bridge currency for cross-border payments, enabling nearly instant transfers between currencies.
Ownership & Control	A privately held firm (founded in 2012) that is not itself a tradable crypto. Ripple’s business and stock (if any) are independent of XRP trading.	XRP has a fixed supply of 100 billion tokens. Roughly 80% of them were originally owned by Ripple Labs and are held in escrow. The token is decentralized (anyone can hold/transact XRP), but Ripple’s ownership of many XRP gives it significant influence over circulation.
Misconceptions & Mistakes	Often confused with XRP. Ripple is not a currency or coin you can trade on exchanges; it’s the company. You cannot buy “Ripple” as a crypto token.	Often mislabeled as “Ripple”. XRP is not stock or equity in Ripple Labs. Buying XRP gives you the token only; it does not give you ownership or voting rights in the Ripple company.

Purpose & Function

Ripple (the company) develops commercial products (RippleNet) for banks and businesses. It provides software and network infrastructure so that institutions can move money globally. In contrast, XRP (the token) is used within those systems as the currency of exchange. Think of Ripple as the postal service and XRP as the stamps: one is the service provider, the other is the medium of postage. XRP’s function is to provide liquidity and bridge between different currencies on the XRP Ledger. This difference is crucial: Ripple’s goal is to sell software/services to enterprises, whereas XRP’s purpose is to settle transfers quickly across ledgers.

Ownership & Control

Ripple is a company with its own management, investors, and governance (similar to any tech startup). XRP is a cryptocurrency that lives on a blockchain. No single party must control XRP – it can be held by anyone. However, because Ripple originally received 80% of all XRP, the company has a lot of influence over the token supply. Over time, Ripple periodically releases XRP from escrow to the market (e.g., to fund operations or seed liquidity). Importantly, you cannot buy shares of Ripple, the company, on crypto exchanges – Ripple shares (if publicly traded at all) are separate from XRP. Conversely, owning XRP doesn’t grant you shares or voting power in Ripple.

Misconceptions & Common Mistakes

A very common mix-up is using the terms interchangeably. For example, some beginners ask, “Is XRP the same thing as Ripple?” or even refer to XRP simply as “Ripple”. In reality, Ripple is not a cryptocurrency. The legal entity is Ripple; the token is XRP. Buying XRP is not the same as buying Ripple stock. Another mistake is expecting Ripple’s fortunes (e.g., company performance) to directly dictate XRP’s market price at all times. While they are related, XRP trades on open markets and its price is driven by supply/demand. When hearing “Ripple (XRP)”, remember it’s like saying “the Coca-Cola recipe (the syrup)”; Coke (the company) and Coke (the drink) are related but different.

Why the Distinction Matters for You

For investors: If you’re considering buying in, it’s crucial to know what you’re buying. Buying stock means owning part of a company; buying XRP means owning a cryptocurrency. Ripple (the company) is not available as a crypto token, so if you want exposure to Ripple’s business, you’d need to find equity shares (outside crypto) or similar investments. Conversely, when you buy XRP, you should evaluate it as you would any cryptocurrency (consider its use-case, technology, network liquidity, etc.), not as an investment in Ripple the firm.
For users: If you plan to use the network or hold the asset, understanding control is important. XRP is decentralized and can be sent between wallets on the XRP Ledger without going through Ripple. This means you use the token for transfers, swaps, or payments. However, be aware that Ripple (the company) still controls a chunk of XRP’s supply, which can affect token liquidity. Also, integrating with RippleNet (the company’s products) is a different process than just transacting with XRP. For example, on platforms like Rubic, you might swap, bridge, or spend XRP without any involvement from Ripple Labs itself.
For regulation & legal risk: The regulatory treatment of Ripple versus XRP has been under scrutiny. In December 2020, the U.S. SEC sued Ripple Labs, alleging that selling XRP was an unregistered securities offering. That case hinged on the distinction between the company’s sales activities and the token itself. In July 2023, a U.S. court ruled that XRP was a security only in the context of institutional sales by Ripple, and not a security when sold through exchanges to regular users. In short, the legal status of XRP depends on how it’s sold. For users, the takeaway is that Ripple, the company, faces its own regulatory pressures, whereas XRP (traded on exchanges) is now largely treated like other crypto assets. Knowing this difference helps assess risk: investing in a token can have very different legal considerations than investing in a company.

How to Use Ripple & XRP Correctly

Now that the distinction between Ripple and XRP is clear, it’s important to understand how each is used in practice. Whether you’re an investor looking to acquire XRP, a user aiming to leverage its speed for cross-border transactions, or a developer exploring integration options, knowing how to correctly interact with the Ripple ecosystem and the XRP token is essential. Let’s break down the right ways to buy, store, swap, and bridge XRP, and how platforms like Rubic make this process seamless.

Buying XRP vs. partnering with Ripple: If your goal is to acquire the cryptocurrency, you would use a crypto on-ramp or exchange. The process is simple: select XRP as your coin, choose your fiat (USD, EUR, etc.), enter the amount and card details, and receive XRP in your wallet minutes later. By contrast, “working with Ripple” the company (to use RippleNet for business payments) is a separate path. That involves integrating corporate software via Ripple’s own channels and is not done through buying tokens.
Using XRP (wallets, swaps, bridges): Once you own XRP tokens, you can use them in many ways. You can store them in any XRP-compatible wallet (hardware or software) or swap them on cross-chain platforms. For instance, Rubic’s non-custodial exchange lets you instantly swap XRP for thousands of other tokens with optimal rates. You can also bridge XRP to other blockchains: “Bridge to other networks like Ethereum, BNB Chain, or Polygon” is exactly what Rubic’s XRP Bridge tool offers. Because Rubic never takes custody of your funds, you always keep XRP in your own wallet during these swaps. In everyday use, XRP can also be sent directly for payments (leveraging its fast 3–5 second settlement) or held in your portfolio as a crypto asset.
Swapping and bridging XRP: If you’re using XRP for decentralized finance or trading, you can use Rubic for your cross-chain transactions. You can perform cross-chain swaps (an XRP exchange) directly from the XRP Ledger to hundreds of other networks. For example, Rubic’s platform shows you can “Swap XRP instantly across 15,500+ assets with best rates”. In other words, you can trade XRP for virtually any other crypto without a central exchange. The same infrastructure lets you bridge XRP tokens to other chains as needed. This cross-chain functionality is one of XRP’s strengths in the DeFi ecosystem.

Conclusion

Ripple and XRP are related but not the same. Ripple (the company) created and promotes the XRP ecosystem, but it is a separate corporate entity; XRP is the digital currency that powers the network. Remember that buying XRP is not buying Ripple. XRP is a token, not a stock. Understanding this distinction is crucial whether you’re investing or using the network.

If you’re looking to acquire or use XRP, Rubic makes it easy. You can buy XRP on Rubic in minutes and use Rubic’s tools to bridge or swap that XRP to other coins or blockchains. Rubic’s XRP Bridge and exchange aggregator let you seamlessly convert XRP across networks. For example, you can bridge to other networks like Ethereum, BNB Chain, or Polygon, with XRP.

Buy XRP now!

FAQ

Can I buy Ripple (the company) on the crypto market?

No. Ripple is a private technology company (not a token), so it isn’t traded on cryptocurrency exchanges. You can only invest in Ripple by buying shares (if available through stock markets or private funding), not via crypto. In contrast, you can buy XRP on crypto platforms.

Is XRP the same thing as Ripple stock?

No. XRP is a cryptocurrency token, whereas “Ripple stock” (equity in the company) is completely separate. Holding XRP does not make you a shareholder of Ripple Labs. XRP has its own market and trading dynamics, and buying it won’t give you any ownership or vote in the Ripple company.

Why does Ripple hold so many XRP tokens?

At XRP’s launch, 100 billion tokens were created. The founders allocated 80 billion of them to Ripple Labs. Ripple keeps most of these in escrow or reserves. This large holding was intended to provide liquidity for the XRP economy and to fund Ripple’s operations (the company can sell small amounts of XRP over time for revenue). The escrow mechanism (e.g., 55 billion XRP locked in escrow) was set up so Ripple can’t dump all tokens at once, helping stabilize the market.

Does buying XRP give me ownership in Ripple?

No. Buying XRP only gives you the cryptocurrency token. It does not give you any stake in Ripple, the company, and Ripple Labs has no equity claim on your token holdings. As noted above, XRP is not Ripple stock, so you don’t become a shareholder by owning XRP.

Will Ripple’s performance affect XRP’s price directly?

Not in a one-to-one way. Ripple owning many XRP does link the company’s interests to the token’s market value. This means if XRP’s price rises, Ripple’s reserve becomes more valuable (and vice versa). However, XRP’s price is mainly driven by overall crypto supply and demand. Ripple’s business deals or revenue do not automatically move XRP’s price day-to-day. External factors (market sentiment, exchange trading, tech upgrades, regulatory news) often have a bigger impact on XRP’s price than Ripple’s corporate earnings or product announcements.