South America has turned bullish for Ripple as the financial entity, Currency Bird entered into a partnership with Ripple. Currency Bird was founded in Chile in 2015 and its operations center around electronic remittances for international audiences.
This is the first South American country to join the Ripple network. The payments company announced this new partnership in a press release on their website. It read:
” Ripple Net will bring many benefits for the more than 12,000 Currency Bird customers, as it will allow the company to add new routes to its more than 50 destinations, new currencies, better prices, and faster transfer speeds, all using the technology developed by Ripple based on blockchain, which allows the transfer of digital data with sophisticated and secure coding.”
XRP (XRP) Price Today – XRP / USD
This Move Saves Cost For Cross Border Payments
Currency Bird has served the Chilean community when it comes to remittances. Chileans living abroad use it to send money home and it is used by foreigners who have a temporary Chilean residency. Also, Chilean businesses who handle foreign trade deal use the platform to send money across.
The company offers more than 12,000 clients a secure, safe and unambiguous international transfer and it is quite affordable. The partnership agreement was finalized in March 2019 and will benefit the clients of Currency Bird. It will offer the users advanced new routes as well as new currencies, better prices with faster speed on the blockchain technology.
Remittance Is At Record High
According to a report from the World Bank, remittance flows reached record highs in 2018. Up to $529 billion was transferred to low- and middle-income economies. This report shows a 9.6% rise from the 2017 figures. Globally, the figures for remittances for 2018 was $689 billion from the 2017 report which was $633 billion.
The database also shows that the cost of sending the funds are higher than they should be. A $200 sum is sent at 7% in 2019. Banks charge 11% for cross border transactions. Companies like Ripple can help cut down these costs before 2030.
The U.S economy has seen a 10% increase in remittance in the Latin American region. Three countries in this region receive the highest amount of payments. While Chile doesn’t fall into this list, it leads in internet access.
More than 72% of Chileans have internet access. Sadly, more than 71% of the populace lack access to international payment credit cards. The most popular form of payment is cash-based and some use local cards for payment. This move by the company is a good one as the country is ripe for disruption. It also has the ingredients needed for success.
Ripple Is Partnering With World-Renowned Institutions
Ripple’s partnerships have grown in recent times with international brands like Banco Santander, MoneyGram, American Express, Standard Chartered Bank and Banco Itau. Now, this partnership with Currency Bird will help the company to Ripple provide affordable, faster and efficient services for the people of Chile and Southern America.
Ripple CEO, Brad Garlinghouse and another executive recently sent an open letter to U.S Congress. The letter aims to paint the company and its native token, XRP in a good light while pleading that the regulations on cryptocurrency should not stifle its growth in the region.