RippleNet state that they can empower financial institutions worldwide to enable faster and more affordable real-time payments for their customers.
Real time payments matter because they combine speed, communication, and data to make payments possible in just a matter of seconds. They provide users with immediate access to funds and facilitate instant confirmation of the transaction while providing for instantaneous settlement facility.
There are some community members who are ignorant of the speed factor. One of the commentators opined that Ripple are assuming that they are the only company who are able to provide faster payments. He pointed out to Paypal, Cash App, and Zelle as real-time payment service too. Probably, this is a tired community member who has been on HODL for long.
One of the Reddit clarifications have to state that Paypal does payments as a front end solution and that Ripple is a back end solution.
PayPal bank transfers take more than a day and in many cases it is 2-3 days. This requires Nostro Vostro accounts, and this is a million/billion dollar tie up for each bank, further there is exposure to several volatile currencies. The XRP ledger will be able to move any amount of money for a thousandth of a penny in cases where PayPal will cost several dollars, thus Ripple settles in 3 seconds and 1 second in the near future.
Jimmytatty on Reddit made it very simple stating, “Ask yourself this question…when you cash out from PayPal to your bank, do you see it in your bank account right away? That’s the difference.”
Sydney Ifergan, the crypto expert tweeted: “Paypal make the best fortune possible with every transaction making the customer feel like RIP. However, Ripple, XRP are far better, particularly for institutions and they are in to micropayments too.”
Ripple (XRP) The Future of Micropayments
XRP is set to evolve to be the future of micropayments. They are constantly working to streamline user experience to provide for the best quality peer to peer payment. Users will very soon learn to say good bye to high transaction fees and therefore making the payments economically feasible.
With several banks and financial institutions providing these real-time payment methods to deal with the CoVid19 pain points, Ripple are all set to be positioned as innovators and leaders beyond the existing crisis. There are obvious benefits using Ripple is that money is not kept unnecessarily tied up for several days. Very soon it will be possible to say a grand good bye to the expected delivery and settlement dates for good.
