Can Ripple’s cross-border payment blockchain technology be on the international stage?

You may have heard about the ripple xrp latest news that on June 28, Kotak Mahindra, India’s leading private bank, announced its cooperation with Ripple to improve the Bank’s cross-border remittance business. They plan to deploy the xCurrent blockchain settlement solution, which will reduce remittance payment time to within a few minutes.

 

Kotak’s market capitalization is even greater than that of Yes Bank & Axis Bank, which previously partnered with RippleNet. And Deepak Sharma, the Chief Digital Officer at Kotak Mahindra Bank said: “We employ new technologies to simplify and strengthen our banking services for our customers. And xCurrent meets all needs and enables us to use blockchain technology to provide customers with more transparent and efficient global payment services. Joining RippleNet also expands our global payment network so that we can connect with other members.”

 

So far, more than 25 financial institutions around the world, including the famous British bank santander, have used Ripple’s xCurrent to enhance customer experience in cross-border transactions. And many blockchain supporters have also been expecting that banks can deploy the technology on the international stage. But the vision seems to be hard to achieve.

 

Just half a month ago, Ripple’s chief cryptographer David Schwartz said in an interview that due to the low scalability and privacy issues, banks are less likely to deploy blockchains to handle international payments.

 

Although banks recognize the potential of blockchain technology in reducing transaction time and costs, blockchain technology is still not scalable and does not have sufficient privacy, so banks cannot deploy this technology on the international stage. SWIFT eventually also expressed its interest in the blockchain because of this.

 

Not only did SWIFT not like to move to the blockchain, some other banks also expressed pessimism about it. First, the shift to a decentralized fund transfer means to give up the margin which was an important source of income for the bank.

 

Ripple’s senior vice president Marcus Treach said Previously that the company has launched a project to provide banks with “classic” blockchain payments. However, the bank rejected this initiative on the grounds that we could not merely put “the whole world in a blockchain.”

 

From this it can be seen that the xCurrent blockchain technology still has a lot of resistance on it’s way to the international stage. However, if ripple can overcome these obstacles and improve xcurrent technology, then you will not be able to imagine how much is ripple worth in that time. And the xrp price will create another peak and break the historical record at 3.84 USD on Jan 04, 2018.

 

(source from citicoins.com)