XRP is again gaining wide use in the remittance industry as the digital currency was used to service 7.5% of the US Dollar to Mexican Peso remittances last week, Ripple’s SVP of Product & Corp Dev, Asheesh Birla has said.
The Ripple employee made the observation to show how Ripple’s cross-border remittance solution, On-Demand Liquidity (ODL), has been making progress lately.
A few days back, NewsLogical reported the exceedingly high liquidity volume of XRP/MXN, XRP/AUD, and XRP/MXN. Drawing from the progress, more people are making use of Ripple’s remittance solution in Mexico, Australia and Philippines.
Last week 7.5% of USD to MXN Remittances went through XRP – but ok…. https://t.co/Il405zUD46
— Asheesh Birla (@ashgoblue) February 11, 2020
The dynamic solution designed by Ripple has increased the volume of XRP used in those countries.
Not long, MoneyGram announced the launch of 5 new corridors where Ripple’s ODL solution is to be employed for cross-border remittance. The remittance solution completely eradicate account prefunding during cross-border payment.
Ripple’s ODL Performance in Mexico
The Ripple ODL in Mexico is gaining wide usage this is due to the increasing demand for a seamless cross-border payment solution in the US-Mexico remittance corridor.
US-Mexico remittance corridor where XRP perfected 7.5% of US/MXN cross-border payment, was the first to make use of ODL.
This was made possible through a partnership between MoneyGram and Bitso, with Ripple being the key enabler of the partnership.
Since the launch of the payment corridor, there has been increased usage of ODL service in the US-Mexico remittance payment, hence the increasing usage of XRP in the corridor.
NewsLogical also reported that Bitso CEO is pushing hard to make the exchange service at least 40% of cross-border remittance entering Mexico.
Importantly, Bitso has launched a payment corridor between Argentina and Mexico.
Do not forget that Ripple and Coinbase have investment in Bitso, and that the partnership between Ripple and Bitso came into being through Asheesh Birla.