Marjan Delatinne, Ripple’s head of banking has recently made an interesting statement. He said that banks are not using Ripple’x XRP-powered xRapid product because there’s not enough regulatory clarity in the crypto space.
Non-financial institutions choose xRapid over banks
He addressed a few reasons for which non-financial institutions, on the other hand, are more interested in using xRapid rather than the banks for making cross-border payments.
“Just to make clear, no banking institution is using that, because as you’ve probably heard about, the regulatory framework around the usage of digital assets is not very clear for banks. But payment service providers and some other financial institutions are less governed by these obligations,” Delatinne explained.
He wanted to highlight precisely how xRapid works by using an illustration of somebody who’s sending money from the US to Mexico. He also said that one of the leading use cases of Ripple is definitely involving cross-border payments.
“Let’s imagine you are in the US. You have $100, and you want to send that to a user or someone in Mexico. So you go to the crypto exchange, you exchange $100 to XRP. And immediately after the XRP is converted back to Mexican pesos and it is delivered either to the local or to the financial institution that has an account with the crypto exchange.”
He said that the way in which this works can chance how current liquidity is handled. He believes that xRapid is the ultimate way that shows people how crypto can contribute to the growth of the global economy.
XRP enjoys enhanced adoption
Ripple’s digital asset is celebrating increased adoption with the latest news.
Travala.com travel website is a so-called AirBnB on the blockchain, and it brings huge news. From now on, it will offer more than 550, 000 in 210 countries that can be booked with Ripple’s digital token.
Ripple’s native XRP has also been successfully added to the platform, according to the official announcement: “You can now book 550,000+ hotels in 210 countries using @ripple $XRP. Travel to 82,000+ destinations worldwide.”