Digital currencies could play in the coming years an important role, especially when the world economy recovers from the negative effects of the ongoing pandemic.
Countries like China are taking steps in this regard: The country has presented the Blockchain technology and digital currency as a substantial portion of its economic targets for this decade, with South Korea, Japan and Singapore to pursue their own interests in this area.
And such an advance in terms of digital payments and the Verifiability of data is exactly what the world economy needs right now, writes the payments company Ripple in a blog post.
Digital payments is more important than ever
Asheesh Birla, according to Senior Vice President of Product at Ripple, were payments in real time “is more important than ever” – and governments around the world would have to be a Tech-First strategy for the economic markets are developing.
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Birla commented that the interest and demand for digital payment services escalate. This is because people around the world increasingly require access to immediate and reliable payment and Bank transfer options.
The currently available payment methods “to facilitate these necessary properties but not quite”. This was partly due to “complicated regulations” and the counter-party risk, which in turn leads to delays and inefficiency, so Birla.
The above statements are a litmus test for digital currencies and real-time billing is. The ability to do payments across international borders within seconds, whether in times of uncertainty (like now) required notes Birla.
A large part of the demand for instant payments was due to the quickness of data availability in today’s world. Birla indicates the immediacy of retail centers, commercial zones and other “experiences” which have “made the demand and the need for more efficient Ways for processing of payments increase significantly”.
“The demand and the eagerness of consumers to real-time payments switch, are real. You don’t need to look any further than the fact that payments made via mobile Wallets to overtake in the meantime, in countries such as Thailand, Vietnam and Indonesia, credit card transactions.“
How RippleNet fills the gap
Birla calls the Blockchain and Digital Asset technology should be used as a “key component for the acceleration of the comparison process.” This is also because of the Blockchain technology allows companies and financial institutions, and direct payments, and to accept “is not required, thus the need for a “distributor” as SWIFT”.
Birla says the network was “faster, more technologically advanced infrastructure layer for global payments”. It “eliminates the complexity that stifles currently the current settlement process, and enables cost-effective cross-border payment transactions in just a few seconds,” says Birla.
According to Birla RippleNet transactions take only three seconds. The focus of XRP: the digital Token that acts as a bridge between two currencies and provides that payments in the local currency of a particular area, or user can be quickly delivered and received is.
Ripple has experience in markets such as West Africa, already widespread. The company’s partnership with Waya Money in Ghana allows Thousands of the rapid Transfer between the African borders – which can take up to a week.
Madonna at a Ripple event in Africa. (Source: Youtube)
Birla, according to the conversion of the world to a new reality is created – with regard to the global implications of the Coronavirus for digital currencies and the Blockchain for the “Killer App”Moment.
And that could well be true.