Ripple continues to lead the charge for global blockchain adoption, with an impressive lineup of international corporations using its technology for cheaper international financial transfers. The good news has been virtually constant in 2018, but this has failed to make a lasting impression on Ripple XRP prices.
XRP’s mediocre performance seems to be an indication that the crypto market of mid-October 2018 is not in the business of discerning quality. When and if the bulls return to crypto markets, Ripple could experience a blinding moonshot. Here are some recent reasons why people may return to buying Ripple.
2018: a Year of Good News for Ripple
Here is a smattering of 2018 news – all proof that Ripple is becoming a new industry standard technology for international financial transfers.
MoneyGram and Western Union Probably Use XRapid
In January 2018, MoneyGram (the international remittances service used by Wal-Mart and others) announced that it would be testing RippleX. Since then, RippleX has apparently become a standard channel for MoneyGram transfers, lowering costs and resolution times from days to minutes. MoneyGram’s chief competitor Western Union is also reported to have made the same move, effectively making RippleX a new global standard.
MoneyGram has been in business since 1940, Western Union since 1851. Both services used to employ the telegraph (using telegrams: the “Gram” in MoneyGram). Adopting Ripple is a remarkable case of “if you can’t beat ’em, join ’em.”
International Banks Adopt Ripple’s XCurrent
International banks like Santander (UK) and PNC Bank (USA) have adopted Ripple product XCurrent for international transfers. Many more banks are expected to adopt XCurrent in 2019, and Ripple is aggressively pushing XRapid and the other products that comprise RippleNet. Only incoming cross-border transactions are apparently in effect, but this channel is thought to be well past the proof-of-concept phase. Again, a new international standard may be proving its mettle.
Will Ripple Be the US’s Bet for Crypto Dominance?
Ripple is rumored to be gaining attention in the White House, as a crypto alternative to Bitcoin in America’s quest for dominance against China. It’s no secret that more than 70% of Bitcoin mining power resides within China’s borders. The Chinese government is thought to be seeking de facto control over the Bitcoin network. Washington is not ignorant of the potential of blockchain to change the evolution of world events.
Ripple, operated by the US-based Ripple Foundation, is thought to be a pet project of the US government. The Ripple Foundation controls 60% of the XRP supply. Even though this inherent centralization is counter, to some, to the principles of a true blockchain, Ripple is moving toward greater decentralization.
If the US government can give precedence to XRP and Ripple products, Ripple could be an existential threat to Bitcoin. There is no question that the Ripple network is faster and cheaper than Bitcoin. For years, Ripple fanatics have predicted that one day Ripple would be #1. This seems more possible now than ever.
Except for the price of XRP, 2018 has been a banner year for Ripple. No period since its introduction has made Ripple seem more prepared for global influence. As time goes by, we expect to see many significant new partnerships, and for Ripple to become synonymous with cutting edge fintech. Until then, we’ll be following Ripple developments with interest.
(*Information in this article should not be taken as investment advice.)