The remittances leveraged XRP and moved funds between the United States and Mexico.
Bitso, a Mexican crypto exchange and one of Ripple’s most prominent On-Demand Liquidity (ODL) partners, recently disclosed in an official statement that it processed up to $3.3 billion in remittances between the United States and Mexico in 2022. According to Bitso, this feat was achieved in alliance with Ripple.
This figure represents three times the volume processed in 2021, underscoring the growing rate at which cryptocurrencies are leveraged for cross-border settlements due to their promise. Bitso noted that they expect this figure to increase in the coming years.
The Latin American exchange highlighted that the remittances were facilitated through its Cripto Para Empresas (Crypto for Business) service and were mainly carried out using XRP and stablecoins as bridge assets. Notably, Bitso’s crypto for a business solution is primarily used by remittance and payment companies.
According to Bitso’s statement, the “strategic” partnership with Ripple played a major role in bolstering this massive growth in remittance volume. Ripple’s ODL expansion into Latin America in 2019 was marked by a collaboration with Bitso as its primary ODL partner in the region. Three years later, the partnership continues to yield fruitful results.
Monica Long, Ripple’s President, called attention to the recent remittance feat. She highlighted the massive volume of funds moved between the United States and Mexico in cross-border services each year. According to Long, Bitso’s ability to process $3.3 billion of these funds through crypto underscores the “real-world utility” of crypto assets.
The US <> Mexico corridor sees 10s of billions of $ in payments every year (remittances, treasury, you name it), and last year @bitso processed $3.3B of that through crypto with @Ripple and others.
This is real-world utility. https://t.co/MF0GrEgo9c
— Monica Long (@MonicaLongSF) April 4, 2023
Speaking on the achievement, Aaron Sears, Ripple’s Managing Director of the Americas, remarked, “Our collaboration with Bitso allows us to continue to offer unprecedented cross-border payments in Mexico, a key region for our clients.”
Sears expressed Ripple’s delight in playing a key role in Bitso’s remittance feat and noted that the company wants to increase this figure as they bring trans-national payments to more businesses in Latin America.
Bitso’s ODL partnership with Ripple was driven by the company’s goal to facilitate cross-border settlements, especially between Mexico and the United States. This goal also inspired a collaboration with remittance firm Félix Pago through which Bitso aimed to provide WhatsApp-based payments from the United States to Mexico.
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