Ripple is introducing a new twist to its product branding, and it’s starting with xRapid. The payment solution known for its power to utilize XRP in cross-border transactions is now known as On-Demand Liquidity or ODL. And that’s not all. Ripple plans to make ODL the go-to payment system for global payments.
According to Asheesh Birla, the company’s senior vice-president of product, Ripple wants to develop a serious, on-demand, and flawless payment system. Asheesh was speaking during an interview at Seeking Alpha.
Slow, Expensive, And Outdated
Going forth, Asheesh said that Ripple’s RippleNet is designed to facilitate instant liquidity through the ODL system. Many financial institutions are already getting on board RippleNet, and some have expressed interest in utilizing the XRP-based ODL. This comes as many startups and other fintech firms seek to fully capitalize on the advantages of digital payment systems.
Indeed, a simple comparison between the traditional systems and the upcoming payment models reveals a rather disturbing disparity. Besides being very slow, sometimes taking days to process payments, the aging systems are also very expensive as compared to the new models – especially those based on cryptos like XRP. Also, there’s a need to adopt new innovate solutions as opposed to hanging onto the outdated ones. As such, Ripple’s ODL comes in handy in cases where instant liquidity is needed in cross-border transactions.
MoneyGram In The Mix
For the last few years, Ripple has been doing everything within its power to attract as many financial institutions as possible into its fold. As of now, well over 200 financial institutions, including big banks and central banks, have joined RippleNet. The company has also made efforts to prop up various blockchain-oriented startups to create more use channels for XRP.
Just recently, MoneyGram announced that it would be adopting XRP for cross-border payments. MoneyGram is a global payment system covering many parts of the world, and its use of Ripple’s technology and XRP means increased awareness and adoption for the cryptocurrency. This will also make Ripple, the company, more popular. Either way, if Ripple succeeds in this endeavor, the world will truly be a global village.