Ripple Director Says Banks Are Exploring RippleNet To Ditch Swift
The director at Ripple, Susan Athey has been talking about Ripple and how banks are starting to use RippleNet. Although the video is from October, she said that banks are working with Ripple to form their own network and ditch the SWIFT system.
Ripple is currently providing different services for both financial companies and banks. The products created by Ripple help institutions to reduce costs and increase efficiency.
“Banks are plugging into RippleNet to form their own network so that they don’t have to go through SWIFT. ” ~ Susan Athey, Director at Ripple
I’am back btw 🙂#RippleNet #IOV #XRPcommunity pic.twitter.com/Tg0MjVkNe5
— Steven Diep (@DiepSanh) November 14, 2018
She mentioned that there are some groups of countries all over the world that are starting to adopt Ripple’s technology. For her, smaller countries are embracing this technology faster than others. With it, banks are avoiding the older system known as SWIFT.
Susan Athey said that the SWIFT system is archaic, it works slow and that the messaging system does not work properly. Furthermore, in terms of the future of currency, she said that the US dollar was going to be working as a hub in a centralized system in some US banking institutions.
With these new technologies, smaller countries are able to avoid these hubs in a cheaper and faster way. The main intention of these banks is to create a new peer-to-peer network in which they would not have to pay any more high fees or wait long times for sending and receiving cross-border payments.
“We’ll basically create a peer-to-peer network that will allow them to move money among themselves instantly without having to go through that,” she commented.
Ripple is connecting different banks and financial institutions all over the world, helping them improve their efficiency. A few days ago, the second largest bank in Malaysia, CIMB, joined RippleNet.
XRP is currently the second largest virtual currency in the market taking into account its market capitalization of $19.05 billion dollars. Each XRP token can be purchased for $0.47 dollars.