The U.S. Faster Payment Council acknowledges Ripple cross-border payment solution in enhancing efficiency and reducing costs in the industry through the use of XRP.
In a significant development, it has been revealed that the U.S. Faster Payment Council (FPC) highlighted the capabilities of Ripple and XRP in a document discussing cross-border payment solutions.
A pro-XRP Twitter account shared screenshots of the document, revealing the council’s recognition of Ripple’s solution as a potential game-changer in the industry.
??? US FEDERAL FASTER PAYMENTS COUNCIL MENTIONS RIPPLE AND CRYPTOCURRENCY WITHIN CROSS BORDER PAYMENTS REPORT + “RIPPLE SOLUTION LEVERAGES A BLOCKCHAIN WITH A DIGITAL ASSET (XRP) WHICH ACTS A BRIDGE BETWEEN LOCAL (DOMESTIC) FIAT CURRENCIES” ???????? pic.twitter.com/WzIYXhLw4l
— ISO 20022…. LET'S DO IT (@Rohitku24694375) June 30, 2023
FPC Document
The FPC’s Cross-Border Payments Work Group, established in 2020 with 30 diverse members, had diligently explored ways to enhance faster cross-border payments. In June 2021, it published the ‘Cross-Border Faster Payments White Paper.’
The report outlined the requirements for faster and more efficient cross-border transactions, emphasizing speed, cost, ubiquity, transparency, and risk. The workgroup underwent a significant shift in focus a year later, expanding its mission to cover global initiatives impacting cross-border faster payments, such as cryptocurrency.
Under the revised charter, the FPC’s workgroup investigated the potential impact of U.S. CBDCs on the adoption of real-time cross-border payments. It examined various solutions currently available in the market, with Ripple’s solution garnering particular attention.
FPC Spotlights Ripple
The document noted that Ripple’s solution, built on a blockchain ledger and utilizing XRP as a digital asset, acts as a bridge between local fiat currencies. This solution enables financial institutions and payment providers worldwide to connect within a global network, facilitating instant, transparent, and final cross-border payments.
It also highlighted that Ripple’s solution eliminates the need for pre-funding destination accounts, reducing operational costs and unlocking capital for institutions.
While Ripple’s solution stood out, the FPC’s document acknowledged other noteworthy options. It included Circle, which offers cross-border value exchange through a stablecoin pegged to the dollar, USDC.
It is worth mentioning that, as The Crypto Basic reported, the International Monetary Fund (IMF) has also recognized Ripple as a key player in facilitating cross-border payment.
Ripple has continued to garner significant attention from key players in the payment industry. Using the XRP Ledger (XRPL) to facilitate fast and cost-effective payments has been seen as a game-changing innovation. Persistent recognitions like these further boost Ripple’s visibility and create more chances for global adoption.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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