Ripple CEO, Brad Garlinghouse recently took to Twitter and has highlighted XRP’s utility in settling cross border payments. He further went on to give the example of MoneyGram which is experiencing real-time settlement (~60 seconds) in USD to Mexican pesos.
Ripple MoneyGram Synergy To Revolutionize Cross-Border Payments
For the purpose of cross-border payments, Ripple offers two main products: xCurrent and xRapid. While the users are all praises for the same owing to its high speed, the question- why XRP – continues to prevail. The reason for the same is that payments are cheaper and get settled faster with XRP than Fiat/Fiat exchange pairs. Interestingly, Brad Garlinhouse’s tweet takes a dig at naysayers and clearly explains the use of XRP.
In June 2019, Ripple bought a share issue from MoneyGram worth $30 million at $4.10 per share to acquire 8-10% of the company. Ripple thus became the critical service provider for cross-border payments and foreign exchange settlement using digital assets. Previously, MoneyGram had to use banking services to provide settlements for payments they initiated. Furthermore, in order to make up for the difference in time of settling payments, MoneyGram had to take loans to increase the required liquidity.
Crypto Twitter Supports Ripple
Crypto Twitter expressed their enthusiasm at the tweet and went on to laud Ripple’s efforts. A twitter user, Jane, who works in a Canadian bank suggested a customer send money to Mexico using MoneyGram. She further wrote it was cheaper, faster and had a faster settlement.
Another crypto user, Stephen Donelly said that Ripple was way ahead of the curve and has strategic planning in place for implementing long-term growth.
MoneyGram Focusses on Cross-Border Digital Growth
Recently, MoneyGram unveiled its Q3 earnings report where the company highlighted its partnership with Ripple.
Our third-quarter results reflect the continued transformation of our business as we increasingly focus on customer experience improvements, cross-border digital growth, and industry-leading innovation through our strategic partnership with Ripple,”
said Alex Holmes Chairman and CEO.
However, it seems that MoneyGram is yet to make significant profits. The latter has reported a net loss of $7.7 MM in Q3. At press time, MoneyGram International, Inc. is down by almost seven percent in just one day. Notwithstanding, the numbers it is highly likely that MoneyGram manages to recuperate losses and find a path to profitability with Ripple and XRP.
Will MoneyGram manage to cover up losses? Let us know, what you think in the comments below!
The post XRP Disrupting Cross Border Payments; Enabling USD-Mexican Pesos Settlements in 60 Seconds appeared first on Coingape.