Swell 2019 opened with a powerful quote from our CEO Brad Garlinghouse, “To fix the friction in payments, we need to reset the plumbing by resetting the fundamental architecture of how payments can flow.” During a time when other industries are rapidly facing disruption, decades old infrastructure has left cross-border payments mostly free from innovation. At Ripple, in close partnership with our customers, we are changing the status quo and resetting the plumbing of payments—beginning with our technology.
During the invite-only conference in Singapore, our Client Solutions Director, Ross Edwards, and Vice President of Product Marketing, Kevin Mole, presented a behind-the-scenes look into how payments flow on RippleNet and how our customers leverage the speed and efficiency of On-Demand Liquidity. The live demonstration explained the building blocks of these capabilities and showed the customer experience sending and receiving simple, frictionless and fast global payments.
RippleNet solves the top problems that result from sending global payments today: speed and certainty, liquidity management and transparency. Edwards and Mole explained how financial institutions use RippleNet to enable payments instantly and transparently.
“Once the beneficiary, Sprout Bank, receives the funds, they send a message back to Fast Remit through RippleNet. This is a simple step, but it’s critical. Through this interaction on RippleNet, Fast Remit and Sprout Bank’s customers are able to get confirmation in real-time that their family and friends have received those funds.”
This bilateral payment experience is one of the most fundamental processes in global payments. Yet, international payments, especially in emerging markets, require businesses to hold pre-funded accounts in destinations currencies. This is a costly endeavor that ties up resources. RippleNet’s On-Demand Liquidity (ODL) capability provides an alternative.
ODL removes the need to pre-fund by using the digital asset XRP to bridge two currencies. This ensures payments are immediately sent and received in the local currency on both sides of a transaction.
In the span of seconds, customers, like MoneyGram International, that use ODL are able to deliver on the four key elements that their customers care about most—reliability, speed, convenience and lower cost—and frees up capital to guarantee the most competitive rates.
“We’ve leveraged On-Demand Liquidity on RippleNet to dramatically reduce our operational costs and process global payments at unprecedented speeds,” explained Kamila Chytil, Chief Global Operations Officer at MoneyGram International on their experience with ODL.
ODL is a game changer for financial institutions. The demonstration presented at Swell showed the real use cases and tangible benefits that our customers receive 24/7, 365.
We’ll continue to update Insights with more recaps from Swell. Be sure to join the conversation with us on Twitter, LinkedIn and Facebook. Interested in getting started with RippleNet and On-Demand Liquidity? Contact us.