James Atkins
Editor
Editor
Ripple’s partnership with Travelex Bank will see customers of the locally regulated bank benefit from XRP-powered cross border payments settled on RippleNet’s On-Demand Liquidity (ODL) protocol.Ripple has launched a digital asset-based payment system in Brazil. Working with respected Latin American bank Travelex Bank, which is licensed by the Central Bank of Brazil.
The new service will allow Brazilians to make real-time, cross-border payments using Ripple’s enterprise blockchain platform and the XRP digital asset.
This is a significant development for Ripple. As Brazil is the largest economy in Latin America and home to over 209 million people.
It is also a major boost for XRP, which has been struggling to gain mainstream adoption.
The news comes just a day after Ripple announced that it had acquired a majority stake in MoneyGram. One of the world’s largest money transfer companies.
The competitive solution will aim to provide consumers in the region with low-cost overseas money transfers. That are instantaneous via RippleNet’s On-Demand Liquidity (ODL).
If businesses and corporates use Ripple’s XRP and the ODL platform. They will be able to send money internationally without having to open accounts in those countries beforehand.
Brad Garlinghouse, CEO of Ripple, says that Brazil has become a very important place for cryptocurrency and blockchain innovation. He praises the country’s environment which is largely friendly to crypto innovation for fintech innovation.
With the growing popularity of blockchain and cryptocurrency among institutional users, the country is witnessing an “explosion of activity.”
“It’s been amazing to see the Brazil crypto community grow so quickly and we are thrilled to offer them this new, fast and efficient way to move money globally,” he states.
Citing a recent report from Brazil-based research firm Ipsos, Garlinghouse claimed that ODL is “gaining significant adoption” in Brazil. With the number of weekly transactions increasing ten-fold in the last six months.
Brazil is one of the most active markets for Ripple’s On-Demand Liquidity (ODL) service. Which uses the cryptocurrency XRP to provide instant liquidity to payment providers.
According to a new report from Yahoo Finance. Ripple CEO Brad Garlinghouse has revealed that the use of ODL in Brazil has increased ten-fold in the last six months.
He says the partnership with Travelex Bank adds to that optimism. Since crypto is assisting people in alleviating pain points in payments.
“From the start, we’ve focused on developing useful solutions rather than gimmicks, and we’re thrilled to work with an creative partner like Travelex Bank to help people move money more quickly for the benefit of its consumers in Brazil,” he adds in a statement.
Travelex Bank is the only bank regulated by the Central Bank of Brazil that focuses exclusively on foreign exchange.
Ripple and Travelex may see an increase in demand for their ODL service because Brazil generates more than $780 billion in yearly proceeds. The native XRP token will help to ensure faster and cheaper payments settlements.
The new payments platform will initially focus on the Mexico-Brazil corridor. Travelex will next look to expand services such as large scale SME payments and internal treasury support, with other corridors following.
“As a forward-thinking organization, we are always looking at new and innovative ways to improve our service offering and provide our customers with even more choice and flexibility when it comes to their international payments.” says Travelex International Payments Managing Director Richard Ambrose.
Ripple’s collaboration with Travelex added to a number of other crucial deals in the Latin America zone. Including with Remessa Online, Banco Topazio, and Banco Rendimento.
Further more, it expands Ripple’s mainstream partnerships across the globe – Southeast Asia, Europe and Middle East.
The news comes as Brazil’s real strengthens against the U.S. dollar, trading at its highest level in almost three years. Brazil is South America’s largest economy and its real is the continent’s most traded currency.
Travelex International Payments is a subsidiary of Travelex Group, one of the world’s largest non-bank providers of foreign exchange and cross-border payments.
I have been writing copy for blockchain-related projects since 2017. I understand the importance of being able to communicate clearly and effectively with both technical and non-technical audiences. By leveraging my understanding of the crypto industry trends, I can help increase adoption in this rapidly evolving landscape.
