Cross-border payments made easy as Ripple partners with crypto remittance firm Intermex.
This is according to an official blog post by the payment processor.
Prior to this time, making cross border payment was difficult, expensive and time-consuming. Due to a lot of underground complex processes that need to take place before the funds get to its final destination. With this in mind, Ripple has been looking for ways to alleviate these challenges. Making slow and expensive cross-border payments fast and inexpensive.
This is especially important for the recipient countries as they are majorly low-income regions of the world. And rely on remittance sent by relatives from high-income countries.
In response to these challenges, Ripple has partnered with International Money Express, Inc. (Intermex). A well-known cross border payment firm directed at the ever-busy Latin America and Caribbean remittance pathway. With the partnership, Intermex will make use of RippleNet to facilitate faster remittance between the US and Mexico.
The US to Mexico remittance corridor is one of the largest in the world with a $36 billion remittance inflow in 2019. This is according to World Bank statistics.
Intermex, on the other hand, is one of the major facilitators of the US to Mexico remittance corridor. Processing an estimated 30 million transactions every year. With this partnership, Intermex will be able to carry out cross border transactions faster, more transparent and cheaper than ever before.
The remittance firm will make use of RippleNet On-Demand Liquidity (ODL).
RippleNet On-Demand Liquidity (ODL)
Prior to this time, other institutions have looked to RippleNet ODL to facilitate their cross-border transaction. First on the list is MoneyGram, which used RippleNet ODL as a bridge between sending and receiving currencies across the globe. Six months after incorporating the ODL, MoneyGram disclosed that 10% of its transactions were now between the US and Mexico. Ripple also recently invested $50 million in Moneygram. Other firms making use of RippleNet ODL include goLance, Viamericas and FlashFX.
RippleNet ODL is currently available in the USD-MXN, USD-PHP, AUD-USD and PHP, and also EUR-USD corridors. It plans to add corridors across APAC, EMEA and LATAM in the near future.