According to reports, David Schwartz, Ripple’s chief technology officer, has urged Amazon and Uber to use XRP for cross-border remittances. Schwartz believes the world’s largest corporations can benefit from using digital assets like XRP.
The Ripple CTO made the remarks, during the WeAreDevelopers event in Berlin, Germany. Schwartz talked about Ripple’s willingness to work with financial institutions to lessen the cost and improve the speed of cross-border remittances.
Corporate Giants Like Uber and Amazon Can Benefit Greatly
Schwartz also says giants like Uber and Amazon would enjoy great rewards if they adopt assets like XRP. The Ripple executive says XRP will allow them to pay international employees instantly without the need to hold various currencies in the world.
Amazon has a vast number of merchants they make payments to. While, Uber, would have to pay drivers. In his words:
“The employees of these giants need efficient payments. That is payments that are can be as reliable as sending an email. Each of these companies employs hundreds of people to handle their payments division alone. Just imagine if you run a payment firm, you would like to go to one of the new corporates and say, just fire your hundreds of employees who work as payment people. We will do your payments henceforth.’ But nobody can actually do that.”
XRP is Well Positioned to Initiate a Payments Revolution
Schwartz believes XRP is actually well-positioned to force a payments revolution due to its speed and low transaction fees.
It is no secret that Ripple has created an enterprise payment network by these principals. Which consists of three products. The first is to process real-time payments. Second is to send payments. And the third one is to offer on-demand liquidity.
According to the Ripple CTO, financial institutions also use Ripple’s xCurrent to process and receive payments. They use xVia to initiate payments while xRapid provides cross-border liquidity. Ripple is a point-to-point Blockchain network. It isn’t run on a central server like PayPal or Swift. It is a decentralized network that allows financial institutions to interact with each other via protocols that aren’t centrally controlled.
Regulation and Education Remain the Major Hurdles for Mass Adoption
According to Schwartz, the issue of regulation and education remain the two biggest roadblocks or hurdles for the mass adoption of the digital asset class for payments processing. So far, Ripple is being used by no less than 200 clients. Most of which are banks and financial institutions who are depending on Ripple’s payment messaging product, xCurrent. No less than 20 among the 200 clients are using xRapid, Ripple’s XRP-powered remittance product.
Schwartz who remains bullish on the prospects of XRP’s chances towards powering a revolution in the remittance sector declared that digital assets are the future of payment processing. He added that:
“Today, our customers are using digital assets for the settlement of payments in real-time. Where that makes sense. They only use more conventional models where it makes sense. They enjoy the advantages of multi-hop, end-to-end messaging, and the various other things that the multi-standard model provides. We believe digital assets along with interledger payments can help create the internet of value.”