Santander wants to enable Spanish SMEs and corporate clients under its payment network to make payments to Brazil.
Ripple’s partner Banco Santander, a leading financial institution based in Spain, has launched a new payment solution that will enable real-time cross-border settlements in Brazil.
One Trade Features
The bank noted that the innovative solution, dubbed One Trade, will enable its corporate customers and SMEs to make instant payment solutions via an online banking method to their Brazilian clients.
Through the One Trade solution, payments will be settled in minutes using Brazilian local currency as opposed to the several days it used to take for financial settlements.
According to Banco Santander, One Trade is an initiative developed under PagoNxt, a firm focused on bringing the bank’s innovative payments businesses.
The payment solution, which is considered the first of its kind launched by any European bank, will be expanded from Spain to other additional markets in Europe in the coming months, Banco Santander noted in the announcement.
António Simões, CEO Santander Spain & Regional Head of Europe, said it is imperative for its clients and SMEs to send money instantly abroad, adding that the new solution developed to facilitate cross-border settlements in Brazil is a great step forward.
“We are proud to be the first bank in Europe to offer this service, which will soon be available in other Santander European markets, and will keep working hard to offer the best solutions in the future,” Simões added.
Surging Payments to Brazil
Per the report, it has become important for Banco Santander to develop a payment solution that will enhance settlements in Brazil due to the surging amounts that have been transferred from Spain to the South American country.
In 2021, nearly 5,000 Spanish businesses sent more than €4 billion to Brazil, representing a 14% increase from what was recorded the previous year.
Bank Adoption of Ripple Technology
Recall that in 2020, Santander tapped Ripple tech to develop the One Pay FX solution, a service that offers faster and cheaper cross-border settlements to millions of retail and commercial customers.
Meanwhile, Santander is not the only traditional financial institution that uses the blockchain company’s payment solution.
So far, more than 200 banks, including the National Bank of Australia (NAB) and the Canadian Imperial Bank of Commerce (CIBC), have tapped Ripple’s technology for cross-border payments.