- As part of the partnership, Travelex Bank will leverage the RippleNet On-Demand Liquidity (ODL) solution for instant payments.
- Ripple is confident that this partnership will help in transforming Brazil’s payments industry to a good extent.
Despite its ongoing battle with the U.S. Securities and Exchange Commission (SEC), blockchain startup Ripple continues to expand in other markets. On Wednesday, August 17, Ripple Inc announced its partnership with Latin American bank Travelex to bring crypto-enabled enterprise payment solutions to Brazil.
The blockchain startup shall be launching its much popular RippleNet On-Demand Liquidity (ODL) solution in Brazil. This also makes Travelex the first bank in entire Latin America to use Ripple’s ODL solution.
Bom dia! Brazil is open for Ripple’s On-Demand Liquidity with Travelex—our first LATAM bank partner—and the first bank approved by the Central Bank of Brazil to operate exclusively in FX. We’re excited to bring crypto-native solutions to 🇧🇷https://t.co/G6U8nh9jIY
— Ripple (@Ripple) August 18, 2022
Ripple’s native cryptocurrency XRP powers its ODL payment solution which allows customers to make cross-border payments instantly and at a very low cost. It does this without the need for any pre-funded capital at the receiver’s end. Commenting on the development, Ripple CEO Brad Garlighouse said:
Brazil is a key market for Ripple given its importance as an anchor to business in Latin America, its openness to crypto and country-wide initiatives that promote fintech innovation. As a result, the market is experiencing an explosion of activity as institutions look to adopt crypto and blockchain technology to solve customer pain points.
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.
The RippleNet platform leverages blockchain technology to collaborate with global payment networks. It simplifies the settlement process by helping associated networks with the availability of instant liquidity.
The growing crypto economy of Latin America
Some of the big countries in Brazil and Argentina have been facing the problem of high inflation and thus crypto adoption in these countries has been growing. Thus, Brazil has taken some proactive measures to regulate its crypto industry. Its regulatory framework helps to protect consumers while simultaneously fostering innovation.
Brazil settles $780 billion worth of payments every year which makes it a lucrative market for Ripple. The blockchain startup said that its customers will immensely benefit from instant and low-cost payments by leveraging the power of crypto.
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On the other hand, Travelex Bank noted that it wishes to simplify customers’ access to foreign money. As a result, it’s working on reviving its services including international payments and remittances. Besides, it’s also working on multicurrency prepaid cards. Ana Tena, CEO of Travelex Bank Brazil said:
Travelex Bank is a 100% digital and 100% personal bank. We were the first exclusive foreign exchange bank approved and regulated by the Central Bank of Brazil. Focused on e-Fx transactions, we embrace tech to offer the best solutions to individuals and companies of all sizes and for the most diverse sectors.