The hype around cryptocurrencies has dropped exponentially, just like its rise. Currently, more attention is being given to the events and relationships between crypto backed companies with traditional markets that are hoping to use the emerging decentralized ledger based technology.
In this regard, Ripple has been actively making headlines for the past few months. In a recent development, Ripple’s financial solutions and services related to transferring of assets and helping cross-border transactions are being tested by the Western Union. According to Raj Agrawal, Chief Financial Officer of the Western Union, the global financial giants are testing out transactions powered by Ripple’s blockchain based system.
Now, if the tests end up providing positive results, then that would be a giant step for the cryptocurrency community. In the absence of traditional banking solutions, the Western Union is the go-to institution for millions of users worldwide.
However, service fees for transferring money can be very expensive due to the difficulty involved with wiring money. However, with Ripple’s blockchain infrastructure backing up the entire procedure, transfer speeds can be improved, and transfer fees can be reduced.
It is worth noting that XRP transfer speeds are nearly double that of Visa’s clocking in at 50,000 transactions per second. Visa currently can only handle around 24,000 a second.
Now, before being tested out by the WU, Ripple has also managed to mark a strong foothold in plenty of Asian countries with the only exception being China. However, Ripple is quite confident that even the Chinese government will need their blockchain powered financial solutions.
Currently, the company is busy in talks with regulators, banks, and payment services regarding the XCurrent technology. Although it will be a long wait before we see any actual development, however, it is clear that the future of Ripple is bright.