Ripple’s XRP Rises on News of Potential Usage in R3’s Corda
The announcement of a test on integration with the SWIFT gpi Link rekindled confidence in XRP’s importance in e-commerce and fintech.
After a few days of languishing under $0.30, Ripple’s XRP perked up on what looks like one of the usual spurts of enthusiasm. During the latest rally, the asset appreciated by more than 12% overnight, starting its climb at 12:00 UTC on Wednesday. XRP rose on news that R3 would use it for its Corda platform and additionally partner with SWIFT to modernize interbank payment solutions.
On Wednesday, SWIFT announced a partnership to perform a proof-of-concept integration of its gpi Link technology with other networks for e-commerce. The test will first work with the technology of R3, the companies announced in a recent statement.
R3 chief executive David Rutter commented:
“Following the recent launch of our Corda Settler, allowing for the payment of obligations raised on the Corda platform, it was a logical extension to plug into SWIFT gpi. SWIFT gpi has rapidly become the new standard to settle payments right across the world. All the blockchain applications running on Corda will thus benefit from the fast, secure and transparent settlement provided through the SWIFT gpi banks.”
The usage of XRP is one of the factors seen as potentially boosting the price based on actual adoption. However, R3’s move to partner with SWIFT has met with some skepticism. Initially, the idea was for Ripple to compete with SWIFT and offer an entirely different technology. R3 was one of the earliest partners of Ripple, tasked with promoting the adoption of the digital asset.
The most recent XRP rally also included a rapid appreciation against Bitcoin (BTC), arresting the month-long slide of the price in Satoshi. XRP has been waiting for an upswing for a while after it slid from the $0.50 level in the past three months.
XRP was seen as controversial because of the possibility to use the Ripple technology without the actual coin. Later, the xRapid tool came to be considered a potential real-life application of XRP. However, it may take a while before banks start using the asset for regular payments.