Ripple News Today – Ripple wants to revolutionize the cross-border financial settlement industry by offering people a cheaper, faster, and more efficient alternative to the current methods of moving money around the world. While the technology that the company is offering is effective, it relies a lot of convincing banks to switch sides. So far, Ripple has been able to get only a hand full of banks to use its technology. This has been a source of concern to many members of the XRP army and the entire cryptocurrency community. Speaking about the issue during an interview with Jeff Roberts, the CTO of Ripple, David Schwartz said that revolutionizing the international payment sector isn’t something that can happen overnight.
Ripple News Today – XRP News Today – Changing The International Remittance Sector Isn’t A One Day Job
During the interview, Schwartz said that Ripple is a fintech firm that intends to change the cross-border payment sector by reducing friction during payments. He said that SWIFT, the most popular method used by banks, is outdated and should not be used in this digital era. Even as just a messaging system, SWIFT is outdated when compared to Ripple xCurrent. According to him, even if Ripple’s technology is efficient, convincing banks to use it has been the main challenge. He noted that financial institutions prefer to move slowly because they are conservative and afraid of rapid change. According to him, even if the banks aren’t willing to move forward, the remittance sector, made up of the non-banking payment services firms, is willing to move fast. They are ready to embrace new technologies that will make payment faster, safe time, and save their customers money.
Schwartz also talked about volatility and how it is a good thing for cryptocurrencies when compared to fiat money. He noted that the frequent price changes of digital currencies is a good thing. He used the USD/MXN trading pair as an example. In his words;
“Let’s say you want to transfer USD to MXN (Mexican Pesos). If you do in the standard way, it will take a few days. And the USD/MXN trading pair is volatile as Forex pairs go, so during those few days it will take to complete the operation, the very low volatility in the Forex market could be enough to show you its teeth. If you carry out this transference using XRP, on the other hand, it will take two seconds. And two seconds is a short enough period that even the high volatility in digital coins will not affect you in any way. This is the problem that xRapid solves.”
XRP (XRP) Price Today – XRP / USD
Ripple’s xRapid has many other advantages over SWIFT. There is no need to have pre-funded accounts when carrying out transactions. This is one of the things that make the transaction almost instant. Institutions don’t need to have frozen capital all the time to enable transactions. Also, since the XRP market place is open, and the token is cheap and accessible, getting partners will be made easier for Ripple in the future.
In conclusion, Schwartz is saying that the revolution is going to take time. It’s not something that can be done overnight. However, with persistence, they will eventually reach global adoption.
What do you think about the Ripple news today? Can Ripple revolutionize the international payment settlement system? Share your thoughts in the comment section below.