Anyone who has made an international bank transfer will feel frustrated about waiting at least one day and paying far more than enough for something that can be done at the click of a button. Ripple is bridging that gap with RippleNet that offers SMEs a competitive advantage for global payments.
The blockchain firm based in San Francisco has brought to his blog to proclaim that "the world's payment infrastructure has not changed from the intoxicating days of the nightclub, almost forty years ago." Commercial operations they are unnecessarily hampered by the archaic banking system of today built on a decades-old infrastructure.
Businesses today have to plan for days of delays while banks and payment providers self-finance accounts in multiple currencies and pass over-inflated costs and exchange rates and transaction fees on their clients. You can lose a significant percentage by sending money from one country to another across a number of different currencies, the only ones who profit from it are the banks.
According to the company, RippleNet accelerates transactions, reduces costs and introduces a level of certainty to global payments;
"By using RippleNet, banks and payment service providers can re-imagine a payment from the invoice to the confirmed transaction for their customers – just a small change, such as the ability to drag invoices as part of an enhanced RippleNet transaction, can have many advantages: saves time with pre-filled fields, automatically confirms recipients for accuracy and obtains quotes in real time. "
Small transactions in emerging markets such as Brazil, India and China will benefit more from an international cross-border payment platform that does not take days or costs a sizable share of the remittance. According to the World Bank, global remittance payments will increase by 3.4% or about $ 466 billion this year.
Ripple is currently at the forefront of the industry and has collaborated with over one hundred banks and payment providers worldwide. He claims to "connect all the parties in a global transaction through a single experience without interruptions." Built for the Internet era, Ripple offers access, speed, security and savings. "
Although this could be a service to long-awaited, cripherpunk and cryptopics claim that Ripple is centralized as a bank and will still profit from these transactions. The company, however, supports the opposite by claiming that the ledger XRP is based on an intrinsically decentralized and democratic consensus mechanism.
The key thing to note here is that Ripple is the company with products like RippleNet, xRapid and xCurrent while XRP is the ledger that works on the principles of blockchain used by other cryptocurrencies. The most important thing to note here is that the company, or its executives, holds a large percentage of these tokens that can enter or exit the market as and when they deem it expedient and consequently have a huge influence on price.