XRP has been dormant for a very long time and as the end of 2018 approaches, the much-needed news about Ripple’s partnerships with major financial institutions have started erupting in the crypto-space.
In addition to the above, XRP and cryptocurrencies are being backed by major players in the financial industries, like the managing director and the chairwoman of the International Monetary Fund [IMF], Christine Lagarde, which is a telltale of massive adoption of cryptocurrencies in real-world.
Ripple has now made massive partnerships with major banks and financial institutions around the world, like Israel’s GMT, Turkey’s Akbank, MoneyGram, AmericanExpress, CIBC, Earthport, and many more who have the access to use Ripple’s blockchain technology for cross-border payments and more.
Akbank announced that it was using Ripple’s blockchain technology [Ripple Net] to transfer the GBP to UK’s Santander, another financial services company. This announcement doesn’t clarify that it is not using XRP as a bridge currency, but it doesn’t mention that it isn’t either.
Moreover, the CEO of Ripple, Brad Garlinghouse’s words did come true, but partially because he had said that at least one bank will be using Ripple’s ‘xRapid’ by the end of the year 2018.
More specifically, he stated:
“I have publicly said we expect this year for at least one bank to use XRP in their payment flows to use xRapid.”
With only 14 days remaining for 2018 to come to an end, it feels like this was what Brad Garlinghouse was talking about.
Apart from the above, there have been rumors in the XRP community that The World Bank could be in close cahoots with Ripple, which sounds too good to be true.
However, there is definitive proof that The World Bank is considering using cryptocurrencies, according to the study by Dr Ramanathan Somasundaram and SM Quamrul Hasan, who are both researchers specializing in government procurement. they have also proposed the development of a blockchain network to boost efficiency across government procurement systems worldwide.
Christine Lagarde, the chairwoman of IMF, said that “money itself is changing”, referring to the cryptocurrency revolution that is incoming. Brad Garlinghouse retweeted with a comment saying:
“@Lagarde is absolutely correct: Money itself IS changing. Digital assets not only help to solve the financial inclusion problem, but also the very real issue of a fractured global payments system – it just makes sense that Central Banks would lean in.”
With the current banking and financial system, transfer of money between countries takes a lot of time and has a huge fees. That’s where Ripple comes into play, with XRP being a bridge currency.
A Twitter user, XRP Veteran, tweeted out an infographic representing how XRP acts a bridge currency between different world currencies. Fiat currencies have a web of interconnected and inefficient ways to convert currencies, which is subject to liquidity.
Using XRP as a bridge currency helps accomplish cross-border payments in a maximum time of three to four seconds and unlike traditional banks, XRP and Ripple’s technology can be used 24 x 7 x 365.
By using Ripple’s xRapid, there is a massive reduction in Nostro accounts, which are tedious and expensive. However, with XRP, Nostro accounts will be eliminated altogether as banks only need to hold the bridge currency, which is XRP.
In comparison with other cryptocurrencies, Ripple and XRP make the transfer between any currency, any asset and any commodity possible.
With all these partnerships in line, Ripple and XRP, has a tag-team plan to take on the remittance and the cross-border payment industry which is worth $155 trillion in total, as mentioned by Navin Gupta.
“Ripple is not an ordinary company… We are here to make a dent in the universe… And that’s the reason six years ago we were born with the mission of moving money like information moves today.”
He said that cross-border remittances is a $155 trillion problem and that they would solve that problem first, make a difference to everyone in that industry and then move to next industry.
XRP spreads its reach
Coinbase recently announced that it is adding more than 30 assets to its trading list and XRP was one among them. Coinbase has always been known for scrutinizing an asset thoroughly before adding it to their trading lists.
Since that has been thrown out of the window, the cryptocurrency community speculates that it could be due to the bear market wiping off more than 80% of Coinbase’s trading volume since its all-time high in 2018, which was reported by diar in a research.
Furthermore, the community speculates that adding XRP to Coinbase could somehow aid and recover the lost trading volume.
Binance’s CEO, CZ, also voiced his opinion regarding Coinbase on a Tweet by Joseph Young.
Moreover, TD Ameritrade, a 40-year-old brokerage firm, stated in a tweet that it is planning to explore addition of XRP.
The tweeted stated:
“Glad you’re enjoying our content! We’re still exploring the #XRP space – stay tuned for more information. Our team is working hard to make things like this happen.”
Leading travel website ‘Travela’, with more than 500,000 properties in over 200 countries, has announced that users can book hotels in those properties using Ripple’s XRP.
XRP and Ripple enthusiast ‘XRP Vibe motivation’ tweeted out a map that shows all the partners that are currently using Ripple’s blockchain services, and exchanges that have listed XRP for trading. This could signify the reach of XRP and Ripple’s empire.
XRP’s market cap FUD
There was a huge commotion in the XRP community recently regarding the correct market cap of XRP. CoinMarketCap [CMC] not considering XRPs in escrows escalated due to the chief marketing officer of Ripple’s Cory Johnson, tweet.
To the commotion CMC replied:
“Hello, to help us process this request, we kindly ask that you have a member of an official team submit a supply update request here: coinmarketcap.com/request and select “I want to update information on an existing cryptocurrency or exchange”. Thank you for your understanding.”
With aggressive adoption and partnership amongst Ripple and other financial institutions, if and when these banks go live and start using xRapid, XRP prices will definitely soar higher, leading the next bull run.
This bull run, in combination with the correct market cap of XRP, could be how XRP becomes the largest cryptocurrency in the world, overtaking Bitcoin [BTC].
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SendFriend goes live in New Jersey; prepared to take on a $11 billion remittance corridor with Ripple
SendFriend, a next-generation remittance service that focuses on cross-border payments between the U.S. and the Philippines, today announced that it had gone live in the state of New Jersey, via a Twitter announcement.
We’re all excited for our launch, and today is the Day (for New Jersey)! Join thousands of Filipinos and come out to the Philippine American Friendship Committee Parade and check out our booth – We will be here all day! pic.twitter.com/PkcrGChwZ9
— SendFriend (@sendfriendinc) June 23, 2019
Ripple and SendFriend’s partnership was announced in late 2018, with the CEO of the latter, David Lighton, expressing his excitement at a Barclays Event in 2019. At the same event, Lighton also confirmed that SendFriend would be using Ripple’s xRapid payment solution that leverages XRP as a liquidity provider.
There is approximately $11.09 billion transferred between the U.S. and the Philippines in remittances every year. These largely use traditional payment methods that are slow and less efficient, when compared to newly developed blockchain-based solutions. The chart below shows the flow of remittances into the Philippines, with the U.S. accounting for the highest volume.
By using Ripple’s xRapid payment solution, money can easily be transferred in a few seconds. Not only does this save millions in fees by taking away middlemen, but it is also less time consuming.
Although xRapid has slashed fees and time for cross-border payments drastically, it has not gained traction due to a lack of regulatory clarity around cryptocurrencies. On February 11, 2019, SendFriend had announced the provision of an option for Overseas Filipino Workers [OFW] to send money “securely and reliably” across borders, with fees that are “65% lower than the industry average” in one “seamless flow.”
David Lighton had said,
“We are humbled by the support of our investors, who share in our vision to reduce the costs and improve the experience for the millions of Overseas Filipino Workers (OFWs) who send money home to support their families… This investment will allow us to build out our team, focus on community engagement, and marketing efforts.”
A Twitter user @mister_pace, commented,
“Based on these rates. You save about $13 to send 1000 using SendFriend over The next lowest MoneyGram”
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