In a significant move, the Central Bank of Saudi Arabia has identified Ripple as a partner for enhancing cross-border settlements. The report underscores the pivotal role of RippleNet, a decentralized global payments network, in utilizing the cryptocurrency XRP for swift payment settlement.
An intriguing tweet revealed CENTRAL BANK OF THE U.A.E. exploration of blockchain protocols for interbank payments. While public blockchains like Ripple and Stellar were excluded due to their lack of permissions and privacy features, the shortlisted contenders include R3 Corda, Hyperledger Fabric (HLF), and JPMC Quorum.
Revisiting 2018, the Saudi Arabian Monetary Authority (SAMA) inked an agreement with blockchain firm Ripple, marking a historic milestone. This partnership pioneers a pilot program, making SAMA the first central bank to embark on such an initiative. Employing Ripple’s ‘xCurrent’ software, participating Saudi banks will realize instant settlement of inbound and outbound payments, potentially revolutionizing global money transfers.
The adoption of xCurrent by SAMA bears transformative potential. The deployment aligns with a broader trend among financial institutions recognizing blockchain’s influence on payments. Dilip Rao, Ripple’s global head of infrastructure innovation, praised SAMA’s pioneering stance. He highlighted how embracing blockchain technology could break down trade and commerce barriers, benefiting both businesses and consumers.
Clarification Amid Ripple & Amazon Rumors
In the midst of these developments, a tweet by Genfinityio CEO King Solomon debunked rumors surrounding Ripple’s partnership with Amazon. The news circulating was erroneously construed as a collaboration, while it actually showcased a case study involving Amazon Web Services (AWS).
The case study was over three years old and referenced outdated product suites. AWS, a subsidiary of Amazon, boasts a plethora of blockchain integrations, further emphasizing the distinction.
King Solomon’s tweet shed light on the misleading nature of some crypto news sites, where sensational headlines lacked substantiating content. He pointed out that many articles disseminating this information lacked credibility upon closer examination, reminding readers to discern the news.
However, the partnership between the Central Bank of Saudi Arabia and Ripple promises to reshape cross-border settlements, while simultaneous clarifications regarding its affiliation with Amazon highlight the need for diligent consumption of information in the digital age.
Related Reading | Cardano’s Whales & Sharks Flock Amid Market Waves