Author: Kella Ghee, Philippines
Using XRP crypto, the blockchain startup Ripple has revealed the results from the xRapid’s first pilot tests.
What is xRapid?
The xRapid is Ripple’s new technology remittance solution that can move the value by using the XRP digital coin and software. By having this, users can avoid spending tedious tasks to store money in international accounts.
It also helps in stopping the delayed payments as well as its costs.
To Ripple, xRapid ticks and deploys simply like this:
“A payment journey with xRapid looks like this: a financial institution connects directly to digital asset exchanges in both the originating and destination corridors.”
To this day, XRP ranks as third of the most valuable cryptocurrency by the market cap. There is an untapped potential use in this digital coin that can be used specifically in the banking industry.
Alistair Constance, Mercury FX director and also took part in one of the pilots, stated his impressions about xRapid promising prospective:
“The exchange rates were very competitive, and the transaction times were unbelievable. It was lightning fast compared to using the correspondent banking network Swift.”
Swift is messaging network used by most of the financial institutions worldwide and a banking system behind on money international transfer and security.
According to the reports of Business Wire, xRapid has a reduced cost of 40 to 70 percent gap compared to the present foreign exchange providers have.
It only takes two minutes on average for the developing technology to process its payment transaction.
Product SVP of Ripple, Asheesh Birla, said this:
“XRP’s utility lies in its speed and scalability, which makes it the perfect fit for cross-border payments. The XRP Ledger can send 1,500 transactions per second.”
Testing payments were conducted by financial institutions from the U.S. to Mexico. The market here is tight and a popular choice for many.
Payment providers want to conduct the first pilot test in a very competitive ground with lower costs and has better speed than its competitors.
Paul Dwyer, Viamericas’ co-founder and CEO, was pleased by the results:
“It’s clear that xRapid can lower liquidity costs while increasing payment speed and transparency in a way that facilitates rigorous compliance controls.
We believe that digital assets like XRP will play a key role in the future of cross-border payments, helping to safely address some of the structural inefficiencies of legacy settlement infrastructure as their adoption grows. We look forward to exploring next steps with Ripple.”