RippleNet Solving Global Liquidity Needs by using XRP for its Inherent Benefits of Speed, Low Cost, & Scalability

Ripple shares how RippleNet offers global liquidity arrangement in competition to Nostro accounts that allows banks and financial institutions to focus on speed and cost by using XRP and its inherent benefits.

An insight into RippleNet solving liquidity issues

This time Ripple is sharing insights about RippleNet and how it solves the global liquidity issue. The mainstream provider of liquidity “Nostro accounts are both the backbone and the bane of international banking,” starts Ripple.

Without Nostro accounts, international payments will be slowed down considerably as it holds local market currencies on each side of a transaction. However, these accounts tie up hundreds of millions of dollars creating capital inefficiency, adding costs, and increasing the risks.

Liquidity is a pain point that Ripple solves for the banks and financial providers. This is where the global payments network, RippleNet comes into the picture as it supports three types of liquidity arrangements, shared by Ripple in its post,

Traditional bank-to-bank fiat relationships that can be optimized for high volume transaction corridors and using existing bank-to-bank relationships and accounts.

Third party fiat relationships to handle the medium and lesser volume transaction corridors of banks.

The digital asset XRP that can be used by financial institutions for its inherent benefits of speed, scalability, and low cost to expand reach into exotic or lower volume corridors without holding new or additional Nostro accounts.

Financial institutions can also link together multiple liquidity arraignments within the same transaction. Here, XRP helps them be “more efficient with their overall capital” by reducing real-time settlement, loser costs, and funding fewer Nostro accounts.

It further illustrated how the use of XRP in the pilot of US to Mexico remittance corridor “demonstrated savings of 40-70% compared to traditional costs. At the same time, it helped lower settlement times from two to three days to just over two minutes.”

In order to reach the ultimate goal that is the Internet of Value, RippleNet solves the global liquidity needs by allowing banks and providers to focus on the cost and speed of international transactions “as an end customer benefit.”

RippleNet is gaining a lot of attention from Ripple customers which is also going to take the center stage at the Swift’s Sibos 2018 event that is being held from 22 to 25 October.

The post RippleNet Solving Global Liquidity Needs by using XRP for its Inherent Benefits of Speed, Low Cost, & Scalability appeared first on BitcoinLinux.

loading…

Comments (64)

  1. Alfredaricy Oct 13, 2018
  2. AaronBef Oct 13, 2018
  3. Raymondbeize Oct 13, 2018
  4. CharlesAxods Oct 13, 2018
  5. AaronBef Oct 13, 2018
  6. Alfredaricy Oct 13, 2018
  7. Bennyrak Oct 13, 2018
  8. Alfredaricy Oct 13, 2018
  9. AaronBef Oct 13, 2018
  10. AaronBef Oct 13, 2018
  11. Bennyrak Oct 13, 2018
  12. AaronBef Oct 13, 2018
  13. AaronBef Oct 13, 2018
  14. CharlesAxods Oct 13, 2018
  15. AaronBef Oct 13, 2018
  16. Bennyrak Oct 13, 2018
  17. Raymondbeize Oct 13, 2018
  18. CharlesAxods Oct 13, 2018
  19. AaronBef Oct 13, 2018
  20. AaronBef Oct 13, 2018
  21. Alfredaricy Oct 13, 2018
  22. AaronBef Oct 13, 2018
  23. Alfredaricy Oct 13, 2018
  24. Bennyrak Oct 13, 2018
  25. AaronBef Oct 13, 2018
  26. Alfredaricy Oct 13, 2018
  27. CharlesAxods Oct 13, 2018
  28. AaronBef Oct 13, 2018
  29. AaronBef Oct 13, 2018
  30. Bennyrak Oct 13, 2018
  31. AaronBef Oct 13, 2018
  32. AaronBef Oct 13, 2018
  33. Raymondbeize Oct 13, 2018
  34. CharlesAxods Oct 13, 2018
  35. AaronBef Oct 13, 2018
  36. Bennyrak Oct 13, 2018
  37. CharlesAxods Oct 13, 2018
  38. AaronBef Oct 13, 2018
  39. AaronBef Oct 13, 2018
  40. Raymondbeize Oct 13, 2018
  41. Raymondbeize Oct 13, 2018
  42. Raymondbeize Oct 13, 2018
  43. Raymondbeize Oct 13, 2018
  44. GeorgeImink Oct 13, 2018
  45. GeorgeImink Oct 13, 2018
  46. GeorgeImink Oct 13, 2018
  47. GeorgeImink Oct 13, 2018
  48. GeorgeImink Oct 13, 2018
  49. GeorgeImink Oct 13, 2018
  50. GeorgeImink Oct 13, 2018
  51. GeorgeImink Oct 13, 2018
  52. GeorgeImink Oct 13, 2018
  53. GeorgeImink Oct 13, 2018
  54. GeorgeImink Oct 13, 2018
  55. GeorgeImink Oct 13, 2018
  56. GeorgeImink Oct 13, 2018
  57. GeorgeImink Oct 13, 2018
  58. GeorgeImink Oct 13, 2018
  59. GeorgeImink Oct 13, 2018
  60. GeorgeImink Oct 13, 2018
  61. GeorgeImink Oct 13, 2018
  62. GeorgeImink Oct 13, 2018
  63. GeorgeImink Oct 13, 2018
  64. GeorgeImink Oct 13, 2018

Leave a Reply