XRP vs. Bitcoin: Which Is the Better Buy Right Now?

Key Points

• XRP’s innovative platform allows fast and cheap international transactions, although its volatility is extreme.

• Bitcoin is thriving as a store of value, thanks to its hard supply cap and decentralized setup.

• The best crypto to buy is the safer one that has staying power.

• 10 stocks we like better than Bitcoin ›

The general view among investors might still be that cryptocurrencies are off limits when it comes to allocating capital. However, seeing the huge returns that they can produce might change things. It's best to stay focused on the largest and most established digital assets.

Bitcoin (CRYPTO: BTC) gets all the attention. It's the oldest and most valuable cryptocurrency, with a market cap of $2.3 trillion (as of Sept. 11). It has soared 991% in the past five years.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

The spotlight has been on XRP (CRYPTO: XRP) in recent times. It's up 493% since the U.S. presidential election last year, as investors have become more bullish about this crypto's prospects in a friendly regulatory environment.

XRP and Bitcoin both have compelling investment cases. But which of these two popular cryptocurrencies is the better buy right now?

Image source: Getty Images.

Aiming to disrupt cross-border payments

XRP is an innovative crypto that allows fast, cheap money transfers across borders. This can be a major improvement from the current system, which is slow and expensive. Banks that partner with XRP can cut down on costs, while providing a better experience for their customers.

If XRP can capture even a small sliver of the total cross-border payment market, which the International Monetary Fund estimates is approaching a gargantuan sum of $1 quadrillion, then the token's price could rise significantly over time. That's because demand for XRP should theoretically grow.

The issue for broader adoption, though, is the crypto's extreme volatility. Here's where stablecoins are better, introducing a major competitive force. So, while XRP's promise is to disrupt international payments, its price performance so far is most likely driven by speculation, rather than real-world adoption.

On the speculation front, the pending approval (expected in October) of spot exchange-traded funds could be a big catalyst. These could bring in a fresh wave of capital from individuals and institutions looking for a hassle-free way to gain exposure to XRP in their portfolios. However, this development might already be reflected in XRP's price in anticipation of a favorable announcement.

Over time, XRP's utility will come into focus. Ultimate success is far from a sure thing. Banks and financial institutions might be testing the waters with this new technology, but they'll be slow to give up the huge money-maker of cross-border payments. Adoption and usage might never take off, and that's the key long-term risk for XRP.

New store of value in the digital age

The best way to view Bitcoin is as a digital version of gold. In other words, it's a new store of value in today's economy. By being decentralized, global, neutral, and censorship-resistant, Bitcoin possesses important properties that make it fit for this role.

But its top quality is the fixed supply. There will only ever be 21 million Bitcoin units in circulation. This is etched in the software, and it's unlikely to ever change, unless the nodes want to undermine the network and crash its value.

Bitcoin's durability and staying power are also worth highlighting. It's been around for nearly 17 years. It's never been hacked. It has tremendous brand recognition and network effects, and there is an expansive ecosystem of products and services being built that support Bitcoin's adoption. This gives me confidence that it will be around for much longer than XRP.

While Bitcoin is so far primarily viewed as an investment vehicle, meaning people buy it to hold instead of to use it for transactions, the bulls hope the future ushers in a new era. This could add substantial upside to the Bitcoin thesis. Innovative work is being done by different companies, most notably Block, to boost the crypto's use in payments settings. Bitcoin's lightning network is also interesting, as the Layer-2 scaling solution can enable fast and cheap transactions.

Bitcoin is the safer choice. XRP's run in the past year has been incredible, to be fair. But when it comes to the best cryptocurrency to buy and hold for the next decade or more, Bitcoin is the winner.

Should you invest $1,000 in Bitcoin right now?

Before you buy stock in Bitcoin, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Bitcoin wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $640,916!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,090,012!*

Now, it’s worth noting Stock Advisor’s total average return is 1,052% — a market-crushing outperformance compared to 188% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of September 8, 2025

Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin, Block, and XRP. The Motley Fool has a disclosure policy.