Finally, a payments corridor has been opened by American Express with help from Ripple technology. This is the ability to send money to the U.S. from England within just a few seconds.
Faster Way To Send Payments
The service was made possible with the partnership between Santander, a Spanish bank, and American Express. The corridor has been set by the global head of strategic accounts Marcus Treacher. It has made a way to send payments faster across the Atlantic.
The technology was made via RippleNet, the blockchain of Ripple. This connects Amex customers in the U.S. to the Santander bank accounts using U.S. dollars and using British pounds in the U.K. Treacher stated that this integration would route non-card payments via the shared payment network. This makes the transaction nearly instant and auditable cross-border payments.
This project signals the most recent development for Amex. This was after the credit giant has joined the Hyperledger blockchain consortium, as well as being a partner to bitcoin app provider Abra. Ripple, on the other hand, focuses on another step forward by letting the blockchain platform tested for the entire first half of 2016.
However, even as the project is developing and able to transact in less than 9 seconds, it is restricted to pure blockchain, which doesn’t need cryptocurrency. Thus, both projects commonly have a direct connection, which doesn’t require intermediary cryptocurrency.
Nevertheless, other banks would follow in the footsteps of Cuallix, a financial services firm. This became the first partner of Ripple to convert cross-border fund transfers into the native XRP token of the blockchain.
Treacher also thinks that the native cryptocurrency used by Ripple would put the company on top of the heap. The said technology has been used by the main competitor of Ripple named Swift with its increasing number of upstarts and variations on the use of cross-border payments.