Ripple, an American FinTech firm, and FINCI, a Lithuanian FinTech firm, have partnered up to make retail remittances and B2B payments faster and more affordable. This is done through RippleNet’s On-Demand Liquidity (ODL), which uses XRP for cross-border payments that are crypto-enabled.
This partnership will allow customers and businesses to make real-time payments while sparing financial organizations to pre-fund their accounts.
FINCI is an online cross-border money transfer provider that uses a Mastercard-powered debit card and a mobile app to transfer multiple currencies quickly across 29 countries. While RippleNet’s ODL provides crypto-enabled international payments.
The company is the market leader (in crypto-enabled cross-border payments). ODL allows RippleNet consumers to leverage the digital asset XRP to bridge two currencies in three seconds and ensure the quickness of the transaction.
FINCI, Ripple’s First Customer In Lithuania
According to Wednesday’s May 18 press release, FINCI is the first customer in Lithuania for Ripple. It brings the opportunity to explore a new market for Ripple’s ODL. Lithuania is now one of the most crypto-friendly nations in Europe.
With this partnership, FINCI’s customers can make seamless payments between Europe and Mexico. In addition, it will allow them the opportunity to return capital to their business, which eliminates the need for FINCI to pre-fund accounts abroad.
Managing Director at Ripple, Sendi Young, said:
Cross-border payments have traditionally been slow, complex, and unreliable. ODL is the first enterprise-grade solution to address these cross-border payment problems by tapping into global crypto liquidity, giving our customers a completely new way of doing business to help them grow and scale. We’re delighted that FINCI is our latest ODL deployment in Europe and are looking forward to soon announcing additional European partners who are preparing for a crypto-enabled future.
The coming together of the two fintech companies will make it easier for customers and businesses to make real-time payments. It includes making remittances and fund transfers internationally “faster, more reliably and at a lower cost.” Moreover, ODL leverages XRP to settle payments in local currencies in real-time by tapping into crypto liquidity.
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CEO of FINCI, Mihails Kuznecovs, stated:
We’re excited to be working with Ripple to make it easier for FINCI customers to move money around the world. We share the same fundamental goal of removing the hidden inefficiencies affecting international payments. What’s more, the savings and operational improvements we’ll achieve by using Ripple’s ODL will allow us to put money back into the business and enhance our offering to our customers.
The press release also stated that 2021 was the most successful year for the company, with more transactions on RippleNet than any other year. This resulted in a $15B annualized payment volume run rate.
Featured image from Flickr, and chart from Tradingview.com