SBI Remit has taken a significant step in the world of cross-border payments by integrating XRP into its On-Demand Liquidity (ODL) model. According to the official information, this move aims to streamline the remittance process and improve efficiency for financial institutions.
SBI Remit Utilizes XRP for Currency Conversion
By utilizing XRP, SBI Remit converts Japanese Yen (JPY) into the digital asset before settling transactions in local currencies. This method allows institutions to avoid the traditional requirement of prefunded nostro accounts, which can be cumbersome and costly.
Enhancing Capital Efficiency with XRP
The adoption of XRP not only creates a temporary demand for the cryptocurrency during the settlement process but also enhances capital efficiency for remittance providers. This development highlights the growing practical utility of XRP in facilitating real-world financial transactions. It positions XRP as a valuable tool in the evolving landscape of global finance.
The XRP Ledger recently recorded a significant increase in payment volume, highlighting a shift in user engagement. This development contrasts with SBI Remit's integration of XRP into its ODL model, emphasizing the growing utility of the cryptocurrency. For more details, see record transaction volume.
