Is Ripple Primed to Disrupt the $600 Billion Global Banking Market with Its XRP Cryptocurrency?
- According to statistical data available online, the tx fees currently being imposed by traditional remittance operators on their clients stack up to a whopping $30 billion each year.
- With the adoption of crypto-based intl. payment platforms on the rise across the world, experts believe that this above-stated figure of $30 Billion will decrease quite sharply within the next 5-10 years.As many of our readers are probably well aware of, BTC recently broke past the $9k mark — albeit for a brief period of time. However, it is worth pointing out that while the media at large has primarily been focusing on Bitcoin’s amazing bull run, XRP too has been experiencing a resurgence of sorts over the past few days. In this regard, a number of experts are now starting to opine that XRP will witness a massive breakout within the next month or so.
Ripple and the Banking Sector
Ever since Ripple came into the limelight a few years back, the blockchain firm has been striving to make a mark for itself within the global banking market — particularly within countries where the masses, in general, don't have access to basic payment services.
As per a number of reports released last year, the global remittance market is currently estimated to be worth $613 billion (with a majority of these payments originating from India). Also, it should be mentioned that XRP accounts for nearly 50% of all crypto holdings owned by investors within India — since the public, there views the asset as being a better avenue for sending/receiving money internationally when compared to traditional outlets such as Western Union or Moneygram.
Last but not least, because crypto coins allow users to facilitate near instant tx’s and payments, more and more people across the globe are starting to see the true potential of this burgeoning asset class.
Other Data Worth Pointing Out
- While Ripple is not going to be taking over the global remittance market anytime in the near future, the industry itself is big enough for the firm to make a mark for itself within this unexplored economic terrain.
- As per the estimates of a number of experts, Ripple is primed to take over 10 percent of the global remittance industry — which works out to around $60 billion — in the coming decade or so.
- Since 2016, Ripple has successfully created a number of XRP based remittance platforms (RippleNET, xRapid, xCurrent) to help in the facilitation of easier cross-border transactions.
Even though the masses are still not well versed as to how cryptocurrencies can be used for processing global payments, as and when more awareness about this amazing asset class spreads globally, we will see an increasing number of people being drawn to this nascent industry.