Pseudonymous XRP community member “Crypto Value Hunter” recently suggested that FedNow processed an XRP fund sent to his bank account from the Uphold crypto platform.
The XRP community member disclosed this in a post on X. Crypto Value Hunter revealed that he withdrew funds from his Uphold account in XRP to his bank, and the funds hit the target account instantly.
Furthermore, he expressed surprise at the entity that settled the transaction based on the information in the payment description. Per the disclosure, the XRP funds were processed by FedNow, the U.S. Federal Reserve instant payment system.
Just sent money from Uphold to my bank using #XRP. The transaction took place almost immediately. But to my surprise look who settled the transaction… before If pictures are worth 1000 words then you know what this means👀👀 👀 #FedNow @digitalassetbuy @DigPerspectives… pic.twitter.com/LTLa3HPwcX
— Crypto Value Hunter (@majesticboss55) April 1, 2024
XRP Community Reacts
This revelation has sparked significant optimistic remarks from community members, considering the swift transfer settlement, a prime characteristic of XRP transactions, and the alleged involvement of FedNow.
X user Chris Gates confirmed to have experienced a similar instant settlement when he orchestrated similar transactions.
“The implications of this transaction are enormous. Global integration and adoption are occurring much faster than the vast majority of people realize,” remarked US Navy Veteran Allan Goode.
While reacting to the post, prominent community figure Chad Steingraber claimed Ripple Payments is connected to FedNow Service through the Uphold crypto exchange to process instant deposits to U.S. bank accounts.
Furthermore, Steingraber asserted that “XRP is being used for domestic transactions.” Steingraber reached this conclusion amid Uphold’s partnership with Ripple to bolster cross-border payment infrastructure.
Uphold pic.twitter.com/5nK9pyH0Lm
— Chad Steingraber (@ChadSteingraber) April 1, 2024
When challenged that FedNow does not use XRP to process transactions, Steingraber agreed to that fact. However, he countered that Uphold uses XRP, considering the alliance with Ripple.
Important Disclaimer
Moreover, some other commenters have contested the claim that FedNow settled the transactions involving XRP sent to a bank account.
X users HighSteppin claimed to have moved funds multiple times from Uphold and has never seen the payment description suggesting FedNow processed the transactions.
Other community members have echoed similar sentiments that their payment description never displayed information related to FedNow.
Moreover, the timing of the revelation further cast doubt on its authenticity. Crypto Value Hunter made the post on April Fool’s Day, but he claims it is not a prank.
It is important to highlight that, contrary to Steingraber’s claim, the sole link between Ripple and FedNow was when the Federal Reserve enlisted Volante Technologies, a Ripple partner, in the trial run of the payment platform.