- Sending money abroad has been slow and costly, according to Ripple
- PNC Treasury Management will allow its clients to use Ripple’s
- The financial institution will not be using XRP
PNC Financial Services Group Inc. will be using Ripple Labs’ blockchain technology for its money transfer services. The group, through PNC Treasury Management, will make the network available to its commercial clients, a development that is expected to speed up international transactions. Ripple’s technology is now operating in 40 countries with the fintech revealing to the media that it now has over 100 clients around the world.
The problem with traditional transfers
The Senior Vice President at Ripple Marcus Treacher said in a statement that “cross-border payments has been opaque, slow, and costly” for too long, a problem that still challenges currency transfers and movement to this day. This problem is more pronounced in emerging markets, according to experts, but even American banks cannot keep up with challenger banks in terms of delivering funds to clients in near-real-time.
PNC Treasury Management’s Executive Vice President Chris Ward said that their company is focused on providing clients with “secure digital payments in an instant, whether they are sent across the street or across the world”. PNC will not be using XRP, according to reports.
A positive outlook
“Quite a few payment providers have joined RippleNet recently, so it’s great to see one of the major US banks come on board as well”, said Treacher. RippleNet has continued to have a positive outlook about its future despite issues hounding its token XRP. Detractors also allege that Ripple will never become mainstream.
The company is up against Brussels-based SWIFT, a competitor that connects over 11,000 banking institutions. Although SWIFT is the dominant platform, Ripple claims that it offers a better way to send money abroad. The brand maintains that the company can provider faster and cheaper international money transfers to bank customers and their clients. According to Ripple executives, the fintech also has better record-keeping capabilities.
Find out more about Ripple here.
