Blockchain venture company Ripple launched its commercial product xRapid. The company announced that MercuryFX, Cuallix and Catalyst Corporate Federal Credit Union have started using xRapid.
Earlier this year, Brad Garlinghouse, CEO of Ripple, expressed hope that the company’s digital currency XRP will be used by major banks by the end of 2018. Ripple owns 60 percent of the XRP.
Ripple’s commercial product xRapid is exciting not only for the company, but also for investors because of the changes it will bring to the crypto currency market.
What is xRapid?
xRapid is one of Ripple’s latest products. This product offers payment providers an alternative way of making international payments at a lower cost and liquidity through the digital currency XRP.
Use XRP to make payment transactions xRapid enables companies and customers to send and receive payments in minutes without the high costs of blockchain software.
How xRapid Works
Suppose you want to send money to a friend in India.
If you use xRapid, the payment you send becomes Ripple’s digital currency XRP and is sent to India within seconds.
When your payment arrives in India, the XRPs turn into the country’s local currency rupees in the hands of the buyer. Moreover, such a transfer takes place in seconds with almost no charge.
If you had to send money to someone in India using traditional ways, not xRapid, it would take an average of 3 to 5 days to reach the recipient, you would have to pay a certain fee for this transfer.
In summary, xRapid uses XRP as a currency. In doing so, it provides liquidity, creating an advantageous space for fast, low-cost foreign exchange transactions.
What Does xRapid Bring?
xRapid will undoubtedly bring a few changes.
First, it can be said that xRapid will completely change the way banks and other institutions transfer money. Because xRapid does not require nostro accounts or foreign currency pre-financed bank accounts.
Money sent via xRapid is converted to XRP, which can then be converted to the recipient’s local country currency in seconds. This not only makes customers happy but also saves both time and money.
Some organizations have already tested this product and achieved savings of up to 70 percent.
xRapid will also affect the volume of XRP. So much so that if xRapid meets 1% of international bank transfers, the daily volume of XRP may exceed 250.
One of the biggest changes xRapid will bring is the collaboration between central banks and decentralized digital currencies. This may show the benefits of digital currencies to regulators and everyone else who have so far seen the market as “bad” or yar useless ”.
In this respect, it can be said that xRapid gives people the chance to use blockchain, digital currencies and trust in new technology in their daily lives.