Santander Bank has just launched a payment service that uses a blockchain to perform same-day international payments. The system was developed by Ripple but not based on XRP, and it makes Santander the first major bank to use blockchain technology in this manner.
The service is unique since it’s the first of its kind, however, it’s based on the Ripple blockchain meaning many of the world’s cryptocurrency enthusiasts are already familiar with it.
Santander One Pay FX will allow users and Santander customers to send money internationally in one day or less which is considerably faster than the banking systems that are already in place. We really can’t help but think that if this project works, we might have seen the first steps towards the future of online payments using traditional bank establishments.
Ripple and International Payments
This is not the first time that Ripple has gotten together with leading payment providers to offer better and faster payments based on their technology. In fact, Ripple already has collaborations with several other bank institutions that use their blockchain in one way or another.
So far banks have proven to be reluctant to use XRP, the cryptocurrency that Ripple has developed, for several reasons but mostly due to its unstable nature. That being said, both MoneyGram and Western Union have recently announced that they are working on implementing Ripple XRP in their established payment systems.