Ripple News Update
A company processing $20.0 billion in cross-border payments is launching an XRP pilot program, adding more real-world demand for Ripple’s native cryptocurrency.
The company is Cambridge Global Payments.
For those unfamiliar with Cambridge, it is a fairly large player in the international payments space, with 13,000 clients in North America, Latin America, Europe, and Australasia. (Source: “Cambridge to use XRP for Faster Global Payments,” Ripple, March 1, 2018.)
“We are excited for the insights this pilot program is expected to deliver, and we will use that information to help both Cambridge and FLEETCOR develop our use cases for blockchain in international payments,” said the company’s chief operating officer, Mark Frey.
This is great news for Ripple.
But here’s the most important thing: Cambridge isn’t the first.
Five other firms have joined the XRP pilot program. And while it’s tempting to think that these are no-name companies operating out of a strip mall in Syracuse, the reality is quite different.
Ripple (XRP) Price Chart
The Western Union Company (NYSE:WU), Cuallix, IDT Corporation (NYSE:IDT), Moneygram International Inc (NASDAQ:MGI), and MercuryFX are all testing Ripple’s patented “xRapid” software. Together, these companies handle a majority of the world’s remittance flows, which makes them a perfect fit for Ripple’s business model.
What’s even more interesting is that critics said this couldn’t happen. I remember a Bloomberg report, in particular, saying that “the problem is that banks say they have no interest in using XRP.” (Source: “Ripple Wants XRP to Be Bitcoin for Banks. If Only the Banks Wanted It,” Bloomberg, January 25, 2018.)
While it’s technically true that banks haven’t joined the pilot program (yet), it seems irresponsible to ignore that other financial firms are embracing XRP. After all, banks are the most heavily regulated and conservative of the bunch. Of course, they’ll adapt more slowly.
Furthermore, the “powers that be” aren’t designed to appreciate the potential of emerging technologies. Why should they? No one likes to accept change, particularly if they benefit from the status quo. That’s just human nature.
Regardless of what’s happening with Ripple prices on a day-to-day basis, I’ve maintained my bullishness on XRP. I see it as straddling the balance between new and old, normative and positive, and ultimately forging a connective tissue for global financial markets.
As such, we maintain our $10.00 Ripple price prediction for 2018.