Major financial institutions are increasingly testing digital assets, including XRP, to improve cross-border payments. A recent report by Mastercard, titled “Blockchain Technology Fuels New Remittances Business Cases,” highlights several examples of blockchain applications in remittance systems.

Speculation has resurfaced around a possible integration of Ripple’s XRP with SWIFT, the global messaging network for cross-border transactions. Previous reports have indicated that banks have tested XRP’s compatibility with SWIFT. If confirmed, such a partnership could significantly boost XRP adoption among global financial institutions.

SBI Remit Uses XRP for Transfers

The report also mentions SBI Remit, a Japanese money transfer service that uses XRP as a bridge currency. It places SBI alongside earlier examples such as MoneyGram and Stellar, suggesting a broader trend of using cryptocurrencies to cut costs and speed up cross-border transactions.

Source: Binance
Source: Binance

Ripple, the company behind XRP, has long positioned the token as a bridge asset for converting one fiat currency to another. This approach eliminates the need for pre-funded accounts in multiple currencies and aims to enhance liquidity in regions underserved by traditional banking systems.

You may find it interesting at FinanceMagnates.com: Breaking: Ripple Acquires Hidden Road for $1.25 Billion, Becomes First Crypto Company with Multi-Asset Prime Broker.

Ripple Joins BIS Task Force on Payments

Mastercard’s reference to Ripple and XRP adds credibility to the token’s role in remittances. It signals that mainstream payment firms are now taking a closer look at blockchain infrastructure. The inclusion gives Ripple added visibility in the financial ecosystem.

SBI Remit’s ongoing use of XRP in Asia further illustrates how digital assets are being integrated into real-world payment systems. The Mastercard report underscores that blockchain solutions are being evaluated across regions and technologies.

In parallel, the Federal Reserve and international organizations like the Bank for International Settlements (BIS) are also exploring ways to enhance cross-border payments. Ripple is reportedly participating in a BIS task force focused on reducing costs and improving interoperability.

Source: Finance Magnates