London, UK-based leading digital remittance and payment provider TransferGo has announced the launch of a dedicated blockchain-based remittance corridor to India to support real-time cross-border transfers. Based on the Ripple's payment-supporting technology, the service will be available from all locations across the large European region.
TransferGo Targets High Stake Remittance Market
Though the company did not specify which of Ripple’s products is being used for the newly offered service, it cited “high Ripple adoption in the Indian market,” which was the key factor in selecting the payment focused blockchain technology for “the first launch of this service.” With the mention of the launch opening "up new horizons for TransferGo to develop additional products and services," the company also hinted about the possibility of many more innovative blockchain-based remittance offerings in future. (See also, Ripple Cryptocurrency Woos China's Central Bank.)
The company is pitching its products and services as an efficient replacement to the traditional, slow, bank intermediaries-based payment systems like the SWIFT system. While SWIFT has maintained its near monopoly over the cross-border money transfers for the last few decades, its lengthy processing cycles, high costs, and few hacking instances are raising questions over its efficiency and security amid rapid developments in the fintech sector. (See also, How the SWIFT System Works.)
India tops the global remittance market with a value of $69 billion remitted as of last year, according to the recent World Bank report quoted by The Economic Times. The company cited the "multi-billion dollar" Europe-to-India payments corridor as the primary reason for its initial launch being focused on the selected market.
The fee-based quick service launch is also accompanied by a free and slower version for the same market. The TransferGo FREE service will have a delivery of 2-3 business days with zero fees and a mid-market exchange rate.
“We’re delighted to be one of the first companies in the market to offer our customers real-time money transfers,” said Daumantas Dvilinskas Founder and CEO of TransferGo. “By using Ripple’s revolutionary blockchain technology, we’re able to establish real-time communication between us and our banking partners in India, allowing TransferGo customers to send money to family and friends or make international payments immediately.”
“At Ripple, we believe blockchain technology has the power to make money move as quickly as information moves today, ” said Marcus Treacher, SVP of Customer Success at Ripple. “TransferGo is a great example of a forward-thinking payment provider that’s leaning into new technology to facilitate real-time, cross-border money transfers for their customers. That’s a big step forward.” (See also, Does Blockchain's Popularity Mean The End Of SWIFT?)
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