Ripple aims to dethrone globally-pronounced payment solutions like SWIFT with its own take on global payments and remittances.
Ripple’s executive, Navin Gupta, managing director for South Asia and MENA regions, spoke in an hour-long YouTube video explaining the blockchain’s use cases and its progress so far in 2020. In data provided by the startup executive, Ripple currently has over 350 partners in its ranks, including RakBank in the UAE and Transfer Go in the U.K.
Over the past seven months, Ripple has welcomed over 50 financial institutions using its settlement platform. Navin said:
“RIPPLE IS ONE OF THE LARGEST BLOCKCHAIN COMPANIES IN THE WORLD WHICH IS IN PRODUCTION. WE HAVE AROUND 350 FINANCIAL INSTITUTIONS THAT USE OUR TECHNOLOGY EVERY DAY.”
Blockchain technology has been revered as the solution to accounting and trust issues on legacy financial systems such as “reconciling accounts without the need for a third party.”
A Solution to Legacy Financial Systems
According to Navin, Ripple aims at reducing the latency and speed problems that financial systems face allowing users to send money as quickly as they send emails. Ripple also minimizes the cost of each transaction to a few cents, curbing the exorbitant fees charged by international money transfer systems, which is also a big issue in hindering international remittances.
“WITH MONEY, THERE’S A LOT OF FRICTION. THERE IS ABOUT $1.6 TRILLION THAT GETS SPENT IN FEES WHEN MONEY IS MOVING ACROSS INTERNATIONAL BORDERS [ANNUALLY] – THE TOTAL VALUE SENT INTERNATIONALLY IS ABOUT $27 TRILLION”