Ripple, based in San Francisco, is collaborating with a Lithuanian financial technology (FinTech) firm to facilitate cross-border money transfers. Ripple announced a new partnership with the Vilnius-based FINCI to provide services to both retail and business-to-business (B2B) customers.
RippleNet’s On-Demand Liquidity (ODL) protocol will use XRP to enable payments between Europe and Mexico without requiring FINCI to tie up capital by pre-funding accounts in other countries.
FINCI CEO Mihails Kuznecovs comments on the new collaboration:
“We’re excited to be working with Ripple to make it easier for FINCI customers to move money around the world.”
We all have the same fundamental goal: to eliminate the hidden inefficiencies that plague international payments.
“The savings and operational improvements we will achieve by using Ripple’s ODL will allow us to reinvest in the business and improve our offering to customers.”
FINCI is Ripple’s first customer in Lithuania, and its ODL service is now available in over a dozen payout markets, including Singapore, Poland, and Thailand
Sendi Young, Ripple’s European managing director, explained how using ODL allows for more efficient international transactions.
“Cross-border payments have traditionally been slow, complex and unreliable.ODL is the first enterprise-grade solution to address these cross-border payment issues by leveraging global crypto liquidity, providing our customers with a completely new way to do business to help them grow and scale.”
While Ripple is still embroiled in a legal battle with the Securities and Exchange Commission (SEC), the FINCI agreement is the latest in a string of international business partnerships.
Ripple announced in September that it was collaborating with Bhutan to develop a central bank digital currency (CBDC), and in November it collaborated with the Republic of Palau to develop a government-backed stablecoin and ease cross-border money transfers.