Ripple CEO Says Banks Will Start Providing Blockchain Crypto Asset Custody Solutions in 2019
There have been different developments around Ripple and blockchain technology. Distributed ledger technology (DLT) is expanding all over the world and Ripple is one of the most important companies in the space. The Chief Executive Officer at Ripple, Brad Garlinghouse, seems very positive about future developments in the financial industry.
Mr Garlighouse said that financial institutions such as Banks are working in order to integrate Ripple and other digital assets. During a statement made at the SG FinTech festival in 2018, Garlinghouse mentioned some developments that are taking place in the cryptocurrency world.
Ripple has a financial and banking network that reaches now more than 150 clients from all over the world. This has allowed firms to send and receive money in a fast and cheap way compared to older systems such as SWIFT. This has also increased the trust of customers in financial institutions that now can process cross-border payments in a faster, more secure and easier way.
"PR said I had a overstep by projecting that within a year I have predicted financial institutions like banks will be using XRP in their payment flows.. PR team say:"Brad, Don't say things like that" It turns out I WAS RIGHT!" – Brad Garlinghousehttps://t.co/wdGZeW4alM
— 🐼PandaRippleXRP🐼 (@RipplePandaXRP) November 12, 2018
Brad Garlinghouse was very enthusiastic about the idea of XRP being used by financial institutions. His own team was saying to him not to say that it was going to happen in the near future. However, there are banks and institutions that are already implementing the xRapid product that uses XRP currencies.
At the same time, Ripple has recently partnered with the Pan European Infrastructure and Target Instant Payment Settlement in order to improve payments across the globe.
Worldwide customers and European clients will be able to transact using virtual currencies between digital platforms. This would result in an increase in the digital money moved all over the world.
This Pan European Infrastructure is implemented by the Central Bank of Europe (ECB), which is the head of the financial sector in the Eurozone and other EU countries. Although not all of these countries use the Euro, 19 of them follow the monetary policies implemented by the ECB.
Furthermore, Garlinghouse said that financial institutions and banks will be providing custody solutions for digital assets as soon as in 2019. These solutions will be offered to secure digital assets of wealthy and institutional clients, but why not also for retail investors?
If banks get involved in the cryptocurrency market, traditional investors would feel more comfortable to start investing in the crypto world. Ripple could sign partnerships with many different companies and institutions all over the world, including the International Monetary Fund (IMF) and central banks from different countries.
Instant digital payments will be performed through the IMF system allowing people from different countries to be connected to the blockchain ecosystem. All these changes show that Ripple will have a very bright future ahead.
At the time of writing, XRP is being traded for $0.52 dollars and has a market capitalization close to $21 billion dollars. In this way, after Bitcoin (BTC) and Ethereum (ETH), XRP is the third largest and most valuable virtual currency in the market, just a few millions away from Ethereum.