Ripple, the XRP currency publisher, is often used as a transactional currency for other crypto-currency payments, and is gaining more and more new customers because financial companies are looking for faster, more modern technology than the Swift banking network, said CEO - Brad Garlinghouse.
Is SWIFT outdated?
The SWIFT organization was established in 1973 by 239 banks from 15 countries, in order to standardize communication and create a universal language for financial news. In 1977, the first message was sent. Initially, SWIFT served only banks using this network for the implementation of cross-border payments. In the following years, apart from banks, other financial institutions joined the group of entities using SWIFT solutions: brokers and dealers, stock exchanges, deposit and settlement institutions, foreign trade and infrastructure institutions, ie clearing houses, and since 2001. also corporations. Currently, the organization has over 10,000 Customers in more than 200 countries who generate more than 22 million messages each day, which, according to SWIFT data from December 2014, gives over 5.5 billion messages per year. In the opinion of experts, the consequences of cutting off access to such an important global system that ensures efficient exchange of payment messages, practically for each country, can be paralyzing for the economy.
A new solution for banks
Ripple is considered a new start up from San Francisco. The designed payment system is similar to blockchain. The payment protocol is almost identical, it is compatible with other cryptocurrencies as well as paper currencies and the commodity market.
It can replace SWIFT, its performance is incomparably greater!