Ripple, third most valuable cryptocurrency, gets approval from the U.S for money transfers

Ripple (XRP), the third most widely used crypto-asset behind bitcoin and Ethereum, has gotten the attention of the world’s biggest economy for money remittance

Ripple (XRP), the third most widely used crypto-asset behind bitcoin and Ethereum, has gotten the attention of the world’s biggest economy for money remittance.

Ripple (XRP) is currently trading at $0.2025 with a market capitalization of about $8.9 billion and a daily trading volume of $1.96 billion, according to data obtained from Coinmarketcap. America’s Consumer Financial Protection Bureau has given Ripple approval for its use in cross-border money transfers.

According to a report recently published by America’s Consumer Financial, Protection Bureau has been researching new developments in the remittance market, including trends related to digital currencies.

U.S Consumer Financial Protection Bureau, which plays a major role in protecting America’s consumers in the financial sector, wrote on the “continued growth and expanding partnerships” of companies such as Ripple. The report also noted the use of Ripple for settlement of cross-border money transfers: “The Bureau has continued to monitor…the continued growth and expanding partnerships of virtual currency companies, such as Ripple, which offer both a payment messaging platform to support cross-border money transfers as well as a virtual currency, XRP, which can be used to effect a settlement of those transfers.”

What you need to know

Ripple (XRP)plays both roles as a payment platform and a currency. The Ripple platform is an open-source platform that is created to allow quick and cheap transactions. Unlike its crypto rival, Bitcoin, which was never intended to be a simple payment system, Ripple has gained the attention of major global banks, like Standard Chartered, and Barclays for international transactions worldwide.

Interestingly, the U.S Consumer Financial Protection Bureau seems to love Ripple for bringing simplicity and openness to the financial industry: “To the degree banks and credit unions increase their reliance on closed network payment systems for sending remittance transfers and other cross-border money transfers, the Bureau notes that this could result in greater standardization and ease by which sending institutions can know exact covered third-party fees and exchange rates.

“The Bureau also believes that expanded adoption of SWIFT’s GPI product or Ripple’s suite of products could similarly allow banks and credit unions to know the exact final amount that recipients of remittance transfers will receive before they are sent.”

Source:Paper.li