One of the most consistent blockchain companies is undoubtedly Ripple. The San Francisco-based startup is no stranger to securing outstanding partnerships with major corporations. As you already know, a consortium of 61 Japanese banks is utilizing the Ripple blockchain for cross-border transactions.
One of the most consistent blockchain companies is undoubtedly Ripple. The San Francisco-based startup is no stranger to securing outstanding partnerships with major corporations. As you already know, a consortium of 61 Japanese banks is utilizing the Ripple blockchain for cross-border transactions. The very same consortium, which also happens to comprise 80% of the assets within Japan, is launching a new mobile payment app.
MoneyTap is an application that enables customers of those 61 banks to instantly settle money transfers in Japan. As you might have guessed, the application utilizes Ripple’s blockchain technology and thanks to it, could send and receive money 24 hours a day, 7 days a week. The consortium itself was founded in November 2016 by SBI Ripple Asia and 42 banks. The project aims at researching and developing blockchain-based products. Since then, 19 more banks have joined, which clearly shows that 80% of banking assets in Japan are closely related to blockchain technologies in one way or another.
Everyone using the MoneyTap app can instantly settle domestic transactions with the easy use of bank account number, QR code or a phone number. MoneyTap processes transfers in a convenient and fast manner, unlike your ordinary bank transfers. In contrast, Zengin, the national payments platform supports domestic transactions between 8:30 AM and 3:30 PM. On the top of that Zengin charges all sides, while Ripple’s blockchain requires considerably lower fees.
Takashi Okita, the chief executive officer of SBI Ripple Asia commented:
“Together with the trust, reliability and reach of the bank consortium, we can remove friction from payments and create a faster, safer, and more efficient domestic payments experience for our customers.”
It is expected that MoneyTap would be available first for Sumishin Bank, Suruga Bank and Resona Bank clients in autumn 2018. At a later stage, the clients of the remaining banks would also have access to the blockchain application. The fact that blockchain technologies are already reaching end customers, means that both Ripple and SBI Group are doing their best in the Japanese fintech sector. After all, their partnership has been around for almost two years now and it’s exciting to see its fruits.
What is even better is that the Japanese bank consortium is working with financial institutions from Thailand and South Korea. So it should come as a surprise if Ripple’s technology dominate the region in the coming years.