XRP to allow the transfer of funds through these countries
In recent years, payment company Ripple has seen significant growth through its XRP-based On-Demand Liquidity (ODL) solution. Together with exchanges and other partners, the company has provided people around the world with an alternative to settle their transactions and leverage multiple use cases.
Unlike traditional payment rails, ODL has the ability to settle a transaction almost instantly and at low cost. According to a Press releasethis solution has been integrated with the Japanese money transfer company Asian Net with the help of the Coins.ph exchange platform.
The partnership will allow the Japanese to send funds to the Philippines. Japan has seen a massive influx of people from neighboring countries. Often workers looking for better pay, better living and working conditions.
These Filipinos need a way to transfer money to family members back home, but traditional platforms are expensive, charge high fees for their services, and settle a transaction within days of sending the silver.
Along these lines, Coins.ph CEO Wei Zhou said the following on their partnership with Asian Net, the deal could improve the way 300,000 Filipinos in Japan send money to their families:
Overseas Filipino workers are too often forced to rely on outdated, slow and expensive remittance services to transfer their hard-earned money home. Coins.ph is committed to harnessing the power of blockchain-based cryptocurrency technologies to enable Filipinos to transfer money across borders in a fast, frictionless, secure, compliant and affordable manner, making the system world currency transfer more inclusive in the process. The ODL service we launched today with OK Remit is an exciting example of how we can achieve this.
According to the release, the partnership was consolidated through SBI Ripple Asia, a company created by Ripple and SBI Holdings. Remittances between Japan and the Philippines will be sent with the SBI VC Trade trading platform as an intermediary, XRP will function as a bridge currency between the two fiat currencies of these countries.
XRP is changing the remittance games in Asia?
In addition to its low-cost transactions and instant settlements, the partners hope to enable individuals and institutions to free up capital that can be reinvested in other areas. By the end of 2021, more than $1.6 billion in remittances had been transferred from Japan to the Philippines.
OK Remit President Shujen Higashida claimed that there has been an increase in demand for XRP-based solutions that allow people to send money from Japan. This demand has skyrocketed in the post-COVID-19 world. Higashida hinted at the possibility of launching similar services in other countries.
Jayson Mandal, Director of the International Department at Asian Net, added the following on their partnership with Coins.ph and the integration of the XRP-based ODL solution:
Our partnership with Coins.ph to launch RippleNet’s ODL service in Japan is a significant achievement and is a key factor in reaching and penetrating the Philippine market – one of our biggest markets. We constantly seek to integrate innovative technologies to meet the needs of foreign residents in Japan and to achieve a high level of customer satisfaction.