RippleNet now facilitates ODL, i.e., On-Demand Liquidity service, for prompt worldwide payments against the market demand. Since digitalization has been getting an edge amidst the growing economic concerns over cash or a traditional way of transacting, global digital payment growth has also elevated. However, the national payments can still be done in a painless way while the international payment is still difficult to an extent and comparatively.
Global digital payment is broadened as the stats speak even more clearer and exhibit a growth of over 40% in e-transactions and digital settlements for several payment providers that include Western Union and MoneyGram International.
Asheesh Birla, SVP of Product and Corporate Development at Ripple, elucidates how the company is developing with the requirement of the hour to sprint the process. However, ODL with a cash service demands enough working capital and resources in comparison to digital currencies. Now, with XRP, the ODL can be fulfilled instantly without the need for cash at any moment directly, which indeed becomes cost-effective due to lack of central mediator.
When we first conceived the idea for ODL, we identified low-value, high volume payments as the sweet spot where customers would see the greatest value in time and money saved using XRP. These often translate to remittance, e-commerce and SME payments. (1/2) https://t.co/twlQEyok75
— Asheesh Birla (@ashgoblue) June 8, 2020
Moreover, financial institutions used to pre-fund accounts with the destination currencies, while ODL eliminates pre-funding, which suits situations such as liquidity crunch in times of ongoing Pandemic. The major focus of the company is on supporting low-value, high-frequency payments, and with ODL, the volume is likely to appear different now. Additionally, Ripple is looking forward to partnering with more firms to onboard new customers for ODL and retaining existing customers for elevated ODL services.
With these ODL developments, Ripple is encouraging the maneuvers of XRP in an extended form to support people in situations like the financial crisis. Nonetheless, MoneyGram—the global digital payments platform ventured with this initiative of Ripple exhibited double the number of transactions in May 2019, and the Q1 of 2020 recorded 57% growth in digital transactions, with a growth of 43% in the total activities at the end of the previous month.
XRP Price Prediction
XRP, at the time of penning down, was trading at $0.201, however, confirms the above-stated stats about the growth in transactions and has extensively hit the highest volume since 2017. Although, the intraday appears flat with little or no momentum at present.
If we look at the hourly XRP/USD chart, we see that the coin has been moving flattish and has also been taken over by Tether and is now ranked 4th in the global crypto market. However, the smart contract platform is doing enough for the adoption of one of the major altcoins. Moreover, in the intraday, it was just yesterday when the XRP price experienced an unprecedented fall to retest support $0.175 just to rebound with a startling momentum immediately and turn flat thereafter.
Moreover, on the hourly chart, the coin is failing to retain support from the moving averages, and the technicals have turned flat, and XRP awaits a blow of momentum.