Ripple launches crypto-enabled payments in Brazil
Ripple’s partnership with Travelex Bank will see customers of the locally regulated bank benefit from XRP-powered cross border payments settled on RippleNet’s On-Demand Liquidity (ODL) protocol.
Ripple has launched a digital asset based payment solution in Brazil, partnering with regulated Latin America bank Travelex Bank.
The enterprise-focused solution will seek to offer customers across the region access to low-cost international payments, with instant settlement via RippleNet’s On-Demand Liquidity (ODL).
Leveraging Ripple’s XRP and the ODL platform will see businesses and corporates send money across borders without having to first open and maintain pre-funded accounts in those countries.
Customers to benefit from ‘real utility’
Ripple CEO Brad Garlinghouse, commenting on the development, noted that Brazil has grown to be one of the most important crypto destinations in the region, with its largely crypto-friendly environment great for fintech innovation. The country is thus seeing an “explosion of activity” amid increased adoption of blockchain and cryptocurrency among institutional users.
He added that crypto is helping people solve pain points in payments and the partnership with Travelex Bank boosts this outlook.
“From day one, we’ve focused on building solutions that deliver real utility and we are excited to collaborate with an innovative partner like Travelex Bank to help move money more efficiently for the benefit of its customers across Brazil,” he added in a statement.
Travelex Bank is regulated by the Central Bank of Brazil, with its operations exclusively in foreign exchange. And with over $780 billion in annual remittances into Brazil, Travelex and Ripple could see increased demand for its ODL service, with the native XRP helping ensure cheaper and faster payments settlement.
Initially, support will be for the Mexico-Brazil payments corridor. Travelex will then look to support other corridors, with payments expanding to services such as bulk SME payments and internal treasury.
Ripple’s partnership with Travelex adds to a host of other key deals in the Latin America region, including with Banco Rendimento, Banco Topazio and Remessa Online. It also expands Ripple’s mainstream partnerships across the globe – Europe, Middle East and Southeast Asia.