- The payment service provider Azimo, in cooperation with Siam Commercial Bank, has opened up a new payment corridor between Thailand and Europe by using the RippleNet.
- Due to the corona crisis, the On Demand Liquidity payment corridors to the Philippines, Mexico and Australia have all reached an all-time high in recent days.
Ripple is further expanding its presence in Thailand. The San Francisco-based company announced that Azimo will enable instant cross-border payments between Europe and Thailand in partnership with Thailand’s Siam Commercial Bank, one of Thailand’s leading banks. The new payment corridor will be powered by the RippleNet, Ripple‘s global payment network.
According to the press release, Thailand is one of the top remittance destinations worldwide. According to the World Bank, Thailand receives 6.7 billion dollars annually from abroad. However, Thailand is not only an important international hub for remittances, but also expensive to make cross-border payments. The country is rated by Ripple as one of the most expensive countries for sending and receiving money:
The high cost and slow cross-border payments experience today leaves remitters with few options—providing an opportunity for global financial institutions to build differentiated value propositions in this market and deliver an improved customer service experience.
By using RippleNet and connecting to Siam Commercial Bank, Azimo can move pound or euro transactions into Thai baht in less than a minute. This process previously took on average more than one business day, as Azimo co-founder and CEO Michael Kent explained:
More and more countries are going to instant payment. Thailand recently launched their instant payment network, and this partnership with the largest bank in the country allows us to get the time to settle payments down from around 24 hours to an average of 22 seconds. [It’s] faster to send money to Thailand than to someone else in Europe
The news comes after the recent announcement that Azimo has introduced RippleNet’s On-Demand Liquidity (ODL) payment solution for the payment corridor to the Philippines. In addition, Siam Commercial Bank recently announced that it is working on a Ripple-based app for tourists that will eliminate the need to exchange into the local currency, the Thai Baht. Furthermore, the Senior Vice President for Commercial Banking stated that the bank wants to extend the experience with RippleNet to other markets and small business and enterprise customers.
ODL and XRP volume skyrockets due to corona crisis
While Ripple was able to open another payment corridor, the existing corridors are experiencing new record days. According to the Liquidity Index Bot on Twitter, the payment corridors to the Philippines, Mexico and Australia have all reached an all-time high in the last few days. According to the Liquidity Index Bot data, the corridor to Mexico reached an all-time high of 25.6 million XRP on April 8th.
The payment corridor to the Philippines saw an all-time high of 10.8 million XRP on April 8. The XRP/AUD (Australian dollar) corridor also reached an all-time high of 10.8 million XRP on April 8, with the previous record of 9 million XRP (on April 5).