Published: Fri, September 21, 2018
Economy | By

Ripple exec hints xRapid crypto-payments system may go live next month

Ripple exec hints xRapid crypto-payments system may go live next month

He has shed adequate light on the role of Ripple's XRP to "bridge" the gap between two or more currencies, thereby, speeding up transactions conducted by the banking institutions and the payment providers. The product is aimed at helping banks in speeding up transactions using the XRP cryptocurrency. According to proponents, implementation of xRapid shall no doubt draw extra demand for XRP, the liquidity tool.

The National Commercial Bank, Saudi Arabia's first established bank, has become the latest financial institution to join RippleNet, Ripple's enterprise blockchain network. Banks would use xCurrent to settle worldwide transactions and to notify other banks when an global payment has been made instantly.

Sarbhai addressed the company's awaited product called xRapid as well which aims to help banks speed up their transactions by using the digital asset XRP.

The bank will initially connect to financial institutions in North America and Asia, starting in Singapore, Ripple said in an announcement.

For example, a bank might wish to process a transaction from USA dollars to Indian rupees. This process needs pre-funded local currency accounts in order to take place. Through xRapid, the United States dollars are converted to XRP, moved overseas and converted to Indian rupees, negating the requirement of maintaining rupee accounts.

Blockchain Ripple might introduce a commercial application of its crypto-currency product "next month or so", a CNBC executive announced.

At the same time, investors and holders might additionally retrieve trust in XRP and Ripple, forgetting all about centralization drama since Ripple is now seen openly pushing XRP towards mass adoption, which might be the ultimate goal of most cryptocurrencies in the market.

The company has entered into contracts with a number of prominent financial institutions, such as Santander, American Express, Money Gram and Western Union, among others. It relies on the XRP cryptocurrency, which is widely traded on cryptocurrency exchanges around the world.

Brad Garlinghouse, Ripple's Chief Executive, had earlier this year said that the start-up will encompass dozens of banks using xrapid by the end of 2019. Investors seeking to trade XRP should first buy Bitcoin or Ethereum using an exchange that deals in US dollars such as Coinbase, Gemini or GDAX.

But while a clearly-defined, blockchain-based product such as Ripple has gained instant acceptance, such credibility has taken far longer for straight-up cryptos like Bitcoin, Ethereum and Litecoin. A couple of years ago the narrative was: blockchain good, crypto bad. He has commented, "So, I think that narrative thankfully is now changing because policymakers, regulators are seeing that there is a strong benefit that digital assets, cryptocurrencies bring in." .

Which, in a nutshell, means that soon, cryptos like Bitcoin and Ethereum will also enjoy the respect and credibility that Ripple XRP enjoys.

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