It has been reported by The Daily Hodl that Euro Exim Bank has become the first bank to integrate the xRapid protocol, created by Ripple Labs and powered by XRP. It intends to soon use the system to offer payments to 80 different countries at speeds far faster than longtime dominator, SWIFT.
The team behind Ripple have been busy building a network that aims to rival and overthrow traditional means of cross border payments, but so far actual bank adoption has been slow. That could begin to change however as Euro Exim Bank has officially stepped up and decided to integrate the xRapid system into their international payment process.
Graham Bright, head of compliance and operations at EEB, was quoted in the article:
"There’s been a lot of talk around the markets about how blockchain technology can assist in trade finance. We’re interested in moving forward and creating a platform for payments for our clients who are in over 80 countries at the moment, making sure they have a smooth, frictionless way of paying local people."
The current technology used worldwide is called SWIFT and is known for slow transactions, absurd fees and lost money. There has been a growing tension between the protocols as xRapid stands to be the first real option to rival the legacy system (That is if you don't count all the other cryptocurrencies available). EEB actually provided an example of SWIFT losing one of their transactions just last month, something that should be basically impossible with xRapid. Bright elaborates:
"It was lost somewhere in the quagmire of a central organization, and we have no visibility on where it is. All the counterparty says is, ‘We have not received your message.'"
XRP fans worldwide should rejoice as this could be a major step forward in the adoption of XRP as a new banking standard, something most advocates say is the ultimate goal at Ripple.
Will this trend carry on to ever larger international banks? Stick with Chepicap for all Ripple related updates!