HOME CATEGORIES WRITE AND EARN šŸ”
CATEGORIES WRITE AND EARN MORE

CRYPTO NEWS

Your favorite crypto news blog

Western Union Quietly Tests Ripple (XRP) Technology For International Settlements

Altcoins 2020/04/13 22:10 by Brenda Ngari
Western Union Quietly Tests Ripple (XRP) Technology For International Settlements

Western Union, one of the worldā€™s most recognized money transfer services, has discreetly piloted Rippleā€™s distributed ledger technology and is mulling using it for its remittance services. This is according to equity research conducted by Credit Suisse dated January 24, 2020. 

Western Union Explores Rippleā€™s Technology And Weighs Using It For Remittances

Ripple has always touted itself as the successor to the old payment systems used by remittance firms to conduct cross-border payments. The firmā€™s distributed ledger blockchain-based solution has been adopted by popular remittance firms like MoneyGram after Ripple invested approximately $50 million in the company.

The research that just surfaced points out that besides charging high fees, legacy payment systems like SWIFT take up to five days before a single transaction is completed.

However, platforms like Ripple that leverage blockchain technology and cryptocurrency have the potential to cut the transaction costs and reduce the settlement time.

While firms like TransferWise, Western Union and Remitly have already developed solutions that offer real-time cross border payments at low costs, these innovations are not quite as successful as the ones enabled by blockchain technology, the research notes.

Ripple has amassed around 300 customers who utilize their payment solution, RippleNet. MoneyGram, which falls closely behind Western Union is already part of the RippleNet consortium. Since adopting the On-Demand Liquidity (ODL) solution, MoneyGram has seen a significant increase in its revenue and a simultaneous increase in money transfer speeds. 

The researchers at Credit Suisse confirmed that Western Union has been testing and weighing using Ripple (XRP) for cross-border settlements. Although the company was not initially enthusiastic about Rippleā€™s technology, it is planning to continue piloting the tech. 

At the moment, it remains unclear which one of Rippleā€™s technology Western Union is testing out. But, itā€™s safe to assume that the money wiring giant is more likely to adopt RippleNet, if and when it does.

Western Union is one of the largest financial services providers in the world with a global presence in more than 200 countries. As such, adopting Ripple (XRP) for its cross-border payments would be a huge boost for XRP. Moreover, being an internationally-recognized firm, it would set a welcoming tone for other payment companies.

0 Like(s)



You should also read...

Altcoins 11/12/19 09:18 by Brenda Ngari
XRP Adoption Boost: Bank Of America Applauds Rippleā€™s Innovative Cross-Border Solution
In a move that will undeniably excite the XRP Army, Bank of America (BOA) recently acknowledged that Rippleā€™s cross-border solution is innovative and praised it in a report. Bank of America is the ...
Read More
Altcoins 26/02/20 08:23 by Brenda Ngari
Ripple Partner MoneyGram Set To Integrate RippleNet For Account-To-Account Transfers This Year
Blockchain payment company Ripple has scored multiple strategic partnerships in its time. Perhaps the most notable one is the one with the second-largest money transfer company worldwide, MoneyGram. ...
Read More
Altcoins 26/02/20 20:16 by Brenda Ngari
London-Based Money Transfer Service Azimo To Use Rippleā€™s XRP For Faster Payments In The Philippines
Ripple has recently announced a strategic partnership with Azimo, a London-based virtual money transfer company. Azimo will leverage the On-Demand Liquidity product to facilitate faster and inexpensi...
Read More
Altcoins 27/04/20 22:23 by Brenda Ngari
Renowned Analyst Believes Ripple Has The Potential To Disrupt The Global Remittance Market. But Thereā€™s A Caveat
Itā€™s a commonly used refrain by the Ripple supporters: The blockchain-based payments firm will eventually replace archaic systems like SWIFT for cross-border payments. This should, ideally, boost t...
Read More
Altcoins 18/05/20 19:39 by Brenda Ngari
US Consumer Financial Protection Bureau Sings The Praises of Rippleā€™s XRP-Powered Remittance Transfers
Rippleā€™s core selling point is cheap and near-instant cross-border remittances with its suite of products. Over 300 customers have now signed up for RippleNet while more than a dozen other financia...
Read More