Interbank of Peru chooses the XRP powered product known as On-demand liquidity as a payment procedure. The number of financial institutions adopting blockchain-powered products is on the rise recently.
On-demand liquidity was announced in the last swell conducted in 2018. The liquidity eliminates the need for pre-funding to process transactions by leveraging the XRP currency.
At the event, Nicholas Steiger, CEO of FlashFX, said that
It’s been a long road for digital assets, but the end customer doesn’t necessarily need, or want, to know how their transactions are being handled in the back end. They want the transparency, low-cost and above all else, speed of transactions.
A Technology official at Interbank Peru said that with an intent to boost the adoption of crypto as a payment means, it is vital that the traditional viewpoint of enabling cross-border transactions by financial institutions is subjected to change.
Joisie Mantilla, Emerging Technologies Innovator at Interbank Peru, stated:
In order to increase adoption, it is important to change the traditional thinking about how financial institutions enable cross-border transactions. Banks are part of our culture. We want to improve banking technology and give underserved people an opportunity to change their relationships with banks. This will change an entire generation. By leveraging ODL, our customers are doing just that.
Joisie Mantilla even spoke that Interbank Peru is consistently validating Xcurrent since long and that they are now prepared to proceed with XRP in a while this year.
The motivation
It observes that International payments in emerging markets need companies to maintain accounts that are pre-funded in the currencies of the destination. And this all in all becomes an expensive way as it ties up the digital resource. With XRP, On-demand liquidity opens up capital, guaranteeing some inexpensive rates.
Michael Brooks, the Founder & CEO of goLance, also agreed to this saying that their customers look for the least possible cost with the quickest service. ODL will let them maintain this payment efficiency. He claimed that Ripple has let them drop their front end expenses giving them a strong market edge. He said,
Cost and speed made the decision for us to partner with Ripple.
On the other hand, Gonzalez Briseño stated that they wish to see the implementation take place in Mexico and other states, too, and more people join the race; more opportunities for expanding will open up.
González Briseño said,
We want to see the network effects come into place in Mexico and beyond—connecting a country that’s been excluded for many years because of traditional systems. As more players come into space, it creates more corridors and offers more opportunities for those who have been excluded and ignored.
A representative from the Interbank also said that they think that Swell is the best place to fulfill any prospective connections when it comes to crypto business. All of the connections they interacted with were from Swell in the preceding year.
Ripple, as of now, has 300+ customers, including more than 20 customers using ODL, namely XRP.