The US-based digital payment network Ripple unveils RippleNet’s on-demand liquidity (ODL) in Brazil in partnership with Travelex Bank.
According to the announcement, Travelex Bank is the first Latin American bank to utilize ODL. Furthermore, it became the first one to get registered and approved by the Central Bank of Brazil to operate exclusively in foreign exchange.
The ODL solution from Ripple enables users to instantaneously transfer money across borders with very low-cost settlement and without the need to keep pre-funded capital in the destination market by employing XRP.
Also Read: Ripple Q2 Markets Report Shows $408.9M in XRP Sales
Brad Garlinghouse, CEO of Ripple, stated “Brazil is a key market for Ripple given its importance as an anchor to business in Latin America, its openness to crypto, and country-wide initiatives that promote fintech innovation.”
Brazil receives more than $780 billion in payments each year, making it a lucrative market for both Ripple and its clients, who will gain the advantage of cheaper and quicker cross-border transfers made possible by crypto.
Travelex will provide almost instantaneous settlement and access to liquidity through the usage of ODL, enabling them to more effectively expand and develop their business.
Travelex will initially support payments between Mexico and Brazil. It is also planning to support other use cases such as internal treasury and bulk small & medium-sized enterprises (SME) payments.
Travelex now joins Banco Rendimento, Remessa Online, Frente Corretora, Banco Topazio, and B&T Câmbio among the Ripple clients in Latin America.
Travelex Group CBDO, João Manuel Campanelli, noted “Travelex has always been a forward-looking company and we’re pleased to be leading the charge of traditional financial institutions who are embracing the benefits of crypto and utilizing its power for real use cases that can dramatically change the way we move and manage money.”
Ripple established a local presence in Brazil in 2019 and plans to continue expanding its policy, business development, and technical teams there.
Also Read: MercadoLibre to launch its own crypto ‘MercadoCoin’ in Brazil
