Take a Look: Why Banks Are Opting for Ripple Over SWIFT

• Ripple’s technology offers faster, more efficient transactions compared to SWIFT, positioning it uniquely in the market.
• Major banks like Standard Chartered and BNP Paribas use both Ripple and SWIFT for cross-border transactions.

The rivalry between Ripple and SWIFT keeps receiving a lot of attention in the always changing field of digital payments. Although SWIFT has long been the industry standard for international transactions, crypto influencer Good Morning Crypto recently highlighted how Ripple is quickly establishing itself as a serious rival.

The operating architectures of SWIFT and Ripple are among their main differences. The SWIFT gpi is basically a network that links several institutions around the world to enable the flow of financial messages. By comparison, Ripple provides a more specialized option by selling its technology directly to specific banks.

With this fundamental distinction, Ripple is positioned to stand out in the market and maybe facilitate transactions that are faster.

🚨 IS RIPPLE A THREAT TO SWIFT !?! 🚨

Key Difference: SWIFT gpi is a network of banks whereas Ripple technology is sold as a product to individual banks. 🏦

“SWIFT gpi will improve things a little bit but it won’t really match the speed, efficiency and visibility that we… pic.twitter.com/fHoPj9uR6Q

— Good Morning Crypto (@AbsGMCrypto) June 25, 2024

Competitive Edge of Ripple

SWIFT gpi provides no advancements over Ripple’s network in terms of speed, efficiency, and visibility, claims the Ripple VP of Customer Success.

“SWIFT gpi will improve things a little bit, but it will not really match the speed, efficiency, and visibility that we create with the Ripple network, so we do not look at them as a serious long-term competitor,” he says.

This assurance highlights the desire of Ripple to completely transform the payment system.

Even with Ripple’s benefits, big banks like BNP Paribas and Standard Chartered still utilize SWIFT in addition. These banks admit that although Ripple now offers more and better payment data, its coverage of country and currency corridors is still not as broad as that of SWIFT.

This dual adoption approach points to a stage of industrial change where new and old systems live side by side and enhance one another.

Expansion and Market Performance

More banks should use Ripple’s products as it grows into new regions and corridors. If Ripple intends to improve its competitive position versus SWIFT, this growth is essential.

Nevertheless, the characteristics of the market also influence the price changes of XRP, the digital asset of Ripple. As per CoinMarketCap, the price of XRP is at $0.4729, down 0.60% in the last 24 hours and 3.36% in the last week.

The technology of Ripple has wider ramifications than its direct rivalry with SWIFT. Previously, CNF outlined the possibilities of XRP and Ripple in relation to BRICS Pay, suggesting the possible place for Ripple in the future of digital payments.

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