By Solomon Odunayo
Ripple, the blockchain tech that oversees the distribution of the digital token XRP strives to prove its worth in the world’s payment industry on daily basis. This has paid off in the past and still paying off, considering the much needed recognition it often receives and attention it attracts.
According to the info hinted by an XRP-centric user, identified on Twitter as BankXRP, Ripple’s cross-border solution was cited as an example of innovation by the Bank of America.
The recognition caught little attention when this material went live around September 2019. The material that was made available in pdf included other innovations besides Ripple’s effort to foster cross-border payment.
The Bank of America also included the value, purpose, and relevance of blockchain technology to the world of banking. How blockchain can be leveraged by banks was simply itemized in the material.
Ripple’s Cross-Border Solution: Proof of Concept
The material released in pdf format by the Bank of America looks more infographic and speaks clearly about the proof of concept use case of Ripple’s cross-border solution for this era and the potential future.
According to BoA, Ripple’s cross-border solution serves as cross-border treasury payment, foreign exchange market maker, and cross-border treasury receipt.
The infographic stressed that the present proof of stake is in the form of linear model, which advances from the originator to the benefactor. According to the infographic, the proof of concept use case for the potential future would be more like a simultaneous settlement between the originator and the benefactor.
Benefits of Ripple’s Services Itemized By BoA
In the infographic, the Bank of America cited the particular role expected of Ripple’s cross‐border solution. Read the statement as mentioned in the material below;
“Ripple cross‐border solution Ripple’s distributed ledger solution remedies legacy correspondent banking infrastructure challenges and provides bi‐directional messaging to enhance payment tracking, data transmission, and enables enhanced certainty in settlement.”
Bank of America : Ripple cross‐border solution Ripple’s distributed ledger solution remedies legacy correspondent banking infrastructure challenges and provides bi‐directional messaging to enhance payment tracking, data transmission, and enables enhanced certainty in settlement. pic.twitter.com/ScMSzfOU9c
— 𝗕𝗮𝗻𝗸XRP (@BankXRP) December 8, 2019
While stressing the potential benefits of Ripple’s cross-border solution, the Bank stated that it will bring about a “simplified correspondent banking model”, coupled with “transparency in payments”.
BoA sees the services rendered by Ripple as a potential means of providing liquidity in the United States. Conclusively, BoA averred that it will initiate “reduced investigation and repairs”.
Benefits of the Recognition Ripple and Blockchain by BoA
Blockchain technology is a nascent innovation that still struggles to gain prominence across the board. However, the industry is growing and developing against all odds. Ripple has also contributed its part to the adoption of the technology.
Blockchain technology is envisaged to be the future due to the positive impact it is contributing presently. Also, the recognition of the relevance of the new and growing technology is a favorable indication as to what its future could bring.
On the other hand, the use cases of Ripple’s cross-border and its Distributed Ledger solution received intensive recognition from the Bank of America, with clear analysis of its present and potential future benefits. These indicate that mainstream adoption is probably around the corner.