- Report this article
David Garry 
David Garry
CTO at XMLdation
Published Jul 18, 2023
+ Follow
Rippleis a technology company that leverages decentralised block chain technology in order to facilitate cheaper and faster cross-border payments.ISO 20022is the common language and model for financial messages being exchanged across the world. This blog post discusses what Ripple is and its adoption of ISO 20022.
What is Ripple?
Ripple is aRTGS, currency exchange and remittance network that is available to financial institutions. It uses cryptocurrency to power cross-border transactions.
Ripple was designed to be a replacement for theSWIFTnetwork. It facilitates the transfer of a number of fiat currencies and cryptocurrencies between financial institutions for a small amount of XRP. This fee is small in comparison to the amount charged by banks for cross-border payments.
What is XRP?
XRP is the cryptocurrency native to RippleNet, the Ripple platform. It uses a decentralised blockchain known as the XRP Ledger (XRPL). XRP uses the Ripple transaction protocol (RTXP) to process transaction.
Distributed ledger technologies (DLT) have the potential to reduce costs of transactions. They also speed up the transaction processing because they remove the need for a central authority such as central banks or financial networks like SWIFT.
RippleNet has a facility, ODL, On-Demand Liquidity, which is used to buy XRP on the market when needed and selling it when received, effectively eliminating volatility by completing both transactions within seconds.
Recommended by LinkedIn
Ripple and ISO 20022
Ripple is part of the ISO 20022 standards body with a particular focus on distributed ledger technology. Its membership will allow customers to use RippleNet to access a network of global financial institutions and connect to one standardized API for all counterparty transactions.
Ripple can now provide RippleNet at a greater scale by conforming to the same standard that SWIFT and its members will use. SWIFT members will integrate more easily with RippleNet as they will adhere to the same message standard.
The use of distributed ledger technology within ISO 20022 will allow faster transaction processing and cross-border payments via a standardised API. ISO 20022 stands to become the global payments language and Ripple will benefit from this.
In a sense Ripple and ISO 20022 are quite complementary; both hope to make cross-border payments cheap, easy and automatic.
Like
Celebrate
Support
Love
Insightful
Funny
20
2 Comments
Cris Cirhuza
Systems Design | Software Development | R&D | ELK | Lean Startup | Tokenomics | Rust | CBDC | Compliance
10mo
- Report this comment
An excellent briefing on these two hot topics actually
1Reaction
Leon Katz
SI & Customer Support T3 Engineer at Verint-Systems
1y
- Report this comment
Are we spoke here only about crypto payments or also regular (ex:cbdc)
1Reaction
See more comments
To view or add a comment, sign in
More articles by David Garry
-
Life-cycle of a SEPA Direct Debit (SDD) Message
Jul 11, 2023
Life-cycle of a SEPA Direct Debit (SDD) Message
SEPA Direct Debit (SDD) is a Europe-wide Direct Debit system that allows merchants to collect euro payments from…
15 -
SEPA Credit Transfer in Detail
Jul 7, 2023
SEPA Credit Transfer in Detail
When a SEPA Credit Transfer the originator exchanges a series of messages with the beneficiary through the originating…
3 -
SEPA Credit Transfer Overview
Jul 5, 2023
SEPA Credit Transfer Overview
A SEPA Credit Transfer (SCT) is a payment instrument which facilitates the transfer of funds from the sending or…
12
Sign in
Stay updated on your professional world
Sign in
By clicking Continue to join or sign in, you agree to LinkedIn’s User Agreement, Privacy Policy, and Cookie Policy.
New to LinkedIn? Join now
Insights from the community
- Financial Technology How can you use cryptocurrencies to save money on remittances?
- Payment Systems How do Payment Systems help you with currency conversion?
- Blockchain What are the risks of DeFi and how can you avoid them?
- Banking Relationships What are the most innovative ways to negotiate cross-border payments?
- Financial Technology How can blockchain be used to settle securities trades in real time?
- Blockchain How can DeFi reduce transaction costs for your business?
- Financial Technology How can you safely use cryptocurrencies for digital payments?
- Payment Systems How do you evaluate blockchain and cryptocurrencies as Payment Systems Standards?
- Sales How can you use cryptocurrency to streamline sales transactions?
- Financial Technology You want to learn about digital currencies. What are the best ways to get started?
Others also viewed
- The Future of Finance: Insights from the Swiss National Bank Conference on CBDCs and Blockchain Dr. Michael Gebert 3mo
- Defi, Blockchain, Babies and the Future of Banking – Part I Chris Nichols 2y
- How proposed RBI's CBDC, ‘Digital Rupee’ may work: Ram Rastogi 🇮🇳 2y
- Tuesday, 9th of August, 2022 Radek Zaleski 2y
- The Banking Problem Kevin Q. 2y
- Citi Forecasts $5tn in Digital Money; FedNow is (not) a CBDC; Was Steve Jobs Satoshi Nakamoto - Recap - April 8, 2023 Kene Ezeji-Okoye 1y
- The Billion-Dollar Milestone: Decrypting JPM Coin's Journey in the Banking Blockchain Spencer X. Smith 10mo
- HOW MIGHT BLOCKCHAIN BE USED TO SUPPORT NEW BANKS THAT WILL BE INTERNATIONAL MONETARY TRANSACTIONS FOR INVESTOR AND CRYPTO ORGANISATION? Muskan Bhatia 4y
- CBDC - MONEY 2.0. Paula Costa 1y
Explore topics
- Sales
- Marketing
- IT Services
- Business Administration
- HR Management
- Engineering
- Soft Skills
- See All
