Commercial version of Ripple’s payment platform xRapid could launched “in the next month or so,” Head of regulatory relations for Asia-Pacific and the Middle East at Ripple Sagar Sarbhai told CNBC on Monday, September 17.
Backed by XRP token, xRapid is a real-time settlement platform designed for payment providers and other financial institutions who want to minimize liquidity costs and makecross-border payment transactions faster while improving their customer experience.
“I am very confident that in the next one month or so you will see some good news coming in where we launch the product live in production,” said Sagar Sarbhai.
Ripple’s executive added that more than 120 banks and financial institutions are currently partnered with the company, using its blockchain-based product xCurrent.
Sarbhai also noted that regulators’ approach to cryptocurrencies has been significantly changing from the narrative of “blockchain good, crypto bad,” to taking a more tempered approach toward digital currencies and seeing the benefits of crypto.
In August, Ripple partnered with three crypto exchanges — U.S.-based Bittrex, Mexican Bitso, and Philippine Coins.Ph — as part of an xRapid solution to build a “healthy” ecosystem of digital asset exchanges. The new partnership will enable xRapid to move between XRP, U.S. dollars, Mexican pesos, and Philippine pesos.
This spring, various financial institutions participated in a pilot of the xRapid platform, which tested payments between the U.S. and Mexico. The participants reported transaction savings of 40 – 70 percent. In addition to saving on costs, the parties noted an improvement in transaction speed — from the average 2–3 days to “just over two minutes.”
In June, Ripple Chief Executive Brad Garlinghouse claimed that by the end of 2019 “dozens” of banks would be using xRapid.
The XRP token is publicly traded on cryptocurrency exchanges. If large institutions began using the xRapid product, demand for XRP would theoretically rise given the large-scale transactions that would be taking place and could affect the price.
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