The shortest airline mile distance between Johannesburg and London is 5,635 miles.
In the past, it took days to move money between banks or money service providers in these two cities to travel that distance. That literally means that it would still be faster to put money on a plane and physically fly it between the two cities.
International payment specialist Mercury aims to shorten this money transfer window to just a few minutes using RippleNet’s on-demand liquidity service (ODL) and XRP for digital assets.
The latest news that Mercury has been inducted into the first cohort of the Regulatory Sandbox of the Intergovernmental Fintech Working Group (IFWG) in South Africa for its collaboration with Ripple and Cryptocurrency Exchange VALR is a huge step in bringing fintech innovation to the region.
The IFWG aims to facilitate the role of fintechs and innovation in the South African financial market. More than 50 companies have applied to be part of this first regulatory sandbox, with Mercury being one of the last six companies selected. Mercury is one of two companies in the last six to use XRP to make cross-border payments more efficient in the region.
Today’s IFWG announcement from the company highlighted its belief in the future of blockchain-based money transfer and its goals to drastically reduce the time and cost of transferring money to and from South Africa using RippleNet and ODL.
This goal of saving time and money on international payments is particularly important for the larger African continent. Remittances, in particular, are an important source of income for families – often this means the difference between buying groceries and going hungry or paying rent on time. Every minute gained and every dollar saved brings very real human benefits.
Ripple is honored to be part of this transformation of remittances and international payments within Africa in partnership with innovative partners like Mercury. We are committed to supporting similarly important efforts around the world and working closely with regulators to ensure their success.
If you are a financial institution or bank interested in learning how ODL can enable instant cross-border payments, contact us today.