The ultimate liquidity provider for the plumbing of traditional finance could be way closer than what the difficult regulatory landscape is suggesting. For a few specific traits, Ripple’s native XRP crypto currency could end up being the one constantly employed by TradFi banks in the ever-shifting world of traditional banking.
“No Bank Has Unlimited Resources”: XRP To Save The Day?
SMQKE, a well-regarded blockchain researcher, has recently published a screenshot of an important case study, stating that “no bank has unlimited resources”. That’s where Ripple’s XRP-powered On-Demand Liquidity (ODL) technology, the optional liquidity booster that’s fully compatible with SWIFT’s ISO, comes into play.
▸ Live tracker
Follow every XRP institutional move in real time
Bank pilots, ETF flows, ODL volume & more — all in one place.
Further on, the attached excerpt illustrates how XRP’s own ODL tech bundle is being gradually implemented in developing economies. In the African region, Sir Graham Bright has previously explained how local governments & businesses are able conduct business by switching the ODL into their own local currencies with XRP as the underlying asset.
This saves up a lot of money, as well as time: that kind of switch is nearly immediate. Banks can choose to transact in XRP or their local fiat currency in between seconds, with the result of many risks associated with a foreign currency transaction in a developing country being totally absent. That makes the reliance on traditional correspondent banks obsolete.
Banks Have Started Deploying ODL Already: Here’s The Twist
So far, Ripple has developed a wide net of partners across the globe, counting beyond 300 partners that could technically apply their On-Demand Liquidity (ODL) technology to their everyday business transactions. The XRP-based faucet could turn out particularly well for crypto-savvy countries that grow rapidly, but still lack the basics of economic stability.
Some of the banks are already doing it actively: a handful of traditional banks like Santander, National Bank Of Egypt, Travelex Bank, SBI Remit, Siam Commercial Bank Of Thailand and plenty more. The question is whether these banks pick the XRP-based liquidity instead of the RippleNet’s broader options, which include digital assets and fiat as settlement beyond XRP.
Delve into DailyCoin’s hottest crypto scoops today:
Bitcoin Price Hits $85.4K as Short Liquidations Surge – How High Can BTC Go?
Coinbase Opens IPO Access — Oura Is First, But There’s a Catch
Be the first to comment