Ripple & Japanese Banks to Launch Money Tap Domestic Paymentsin Bitcoin
Ripple has partnered with 61 Japanese banks to launch a mobile app, called MoneyTap, that will be powered by Ripple's distributed ledger technology (DLT), to settle domestic transactions instantly. According to an announcement on Tuesday by the San Francisco-based startup, Japan's SBI Net Sumishin Bank, Suruga Bank, and Resona Bank will launch the smartphone application in autumn this year. Ripple said the new application will allow customers of the three banks to initiate domestic transactions 24 hours a day and seven days a week. It further states that by using a bank account or phone number, or by scanning QR codes, users can make instant transactions without the usual the time constraints imposed by traditional bank transfers. It will also introduce instant round-the-clock settlement of money transfers in a country where transactions are currently processed in a limited window on weekends and between 8.30am and 3.30pm daily.
“We are proud to leverage Ripple’s blockchain technology through our new mobile app, MoneyTap, to improve the payments infrastructure in Japan,” says Takashi Okita, CEO of SBI Ripple Asia. “Together with the trust, reliability, and reach of the bank consortium, we can remove friction from payments and create a faster, safer, and more efficient domestic payments experience for our customers.”RippleNet has over 100 partners already utilizing the xCurrent transfer system and several others using or testing the XRP powered xRapid system. Director of joint venture partnerships at Ripple, Emi Yoshikawa, said;
“The release of the MoneyTap mobile app shows Ripple’s continued commitment to provide its partners across Asia and the world with blockchain-powered solutions that dramatically improve the customer payments journey. We’re proud to provide this production-ready technology that not only improves the international payments experience, but also have applications for domestic payments infrastructure.”Ripple is already working with banks in other countries to overhaul how they handle payments. Blockchain, the digital ledger technology being used for Bitcoin and other cryptocurrencies, has been touted as a potential way to track transactions in a range of industries. In Japan, banks and authorities are keen to embrace financial technology to improve efficiency as high costs and low-interest rates put pressure on profitability. According to Bloomberg, all the banks in the consortium will take three to four years to roll out the service, however, the final version of the software might include cross-border payments and interbank settlements, apart from domestic transfers. Japan recently changed the law to require banks to work with registered third parties that seek to connect to their customers’ accounts using application programming interface technology. The app will use these so-called open API connections to transfer money between bank accounts, Emi Yoshikawa, director of joint venture partnerships at Ripple, said in a telephone interview. The US-based firm has inked deals with some of the major international financial institutions which includes Amex, Saudi Arabia’s Central Bank, the UAE Exchange, Santander, RakBank, Cuallix, and many more.
Are you excited about Ripple’s new blockchain-powered app that will launch in Japan later this year? Do you think Ripple is truly providing a revolution in banking? Let us know in the comments section below!
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