To celebrate the start of another great new year Ripple announced that it had partnered with more than 200 financial institutions and banks which will eventually use Ripple’s services.
In the same announcement Ripple also announced that five [JNFX, SendFriend, Transpaygo, FTCS and Euro Exim Bank] of these 200 partners had agreed to leverage the digital asset, XRP to source liquidity and facilitate real-time cross-border payments.
SendFriend, one among those announced five partners’ CEO David Lighton has confirmed that their xRapid services will go live in Q1 2019 at a Barclays’ Accelerator event. The tweet stated:
“We leveraged the blockchain to create an instant digital money transfer service, a full 65% cheaper than the industry’s average. SendFriend is the US’ first fully compliant international consumer payment solution built on the blockchain and we are going live in Q1.”
Furthermore, SendFriend tweeted:
“The existing correspondent banking system is slow, inefficient and costly. We are excited to partner with @Ripple to solve these problems—to offer our customers a cheaper and faster way to send money to the Philippines.”
The CEO also mentioned that Ripple had contributed $1 million to SendFriend to support marketing expenses which might have come from RippleNet’s accelerator program which usually supports early adopters of its technologies.
Garlinghouse stated that he expects “a dozen of ” banks that will go live and use xRapid in 2019.
“Nice find bro this for sure will make @WesternUnion @MoneyGram think twice. looks like you have new companies nipping at your ankles watch you don’t become a blockbuster to a Netflix .
Adopt now I would hmmmmm
“Wonder if @Ripple gave them $1Mil or $1mil worth of xrp. Could explain why Ripple holding 60% of Xrp, maybe they giving to all their partners. We need more clarity #Xrp”
Leonidas replied to Naked Trader:
“Ripple is an investor in Sendfriend through Xpring”
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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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