Through this integration, FOMO Pay is planning on using Ripple’s crypto-enabled enterprise technology which is supposed to enable its cross-border treasury flows.
Previously, FOMO Pay used to employ the traditional payment system for cross-border settlement of Euro and US Dollar trades which could take up to two days. With this new integration, ODL (On-Demand Liquidity), the firm will be able to conduct instant settlement with very low transaction costs.
ODL leverages XRP, and it is built as a platform to bridge between two fiat currencies which is supposed to help with instant low cost settlement without the requirement of holding a pre-funded capital in a destination market.
Ripple’s ODL services have gained popularity as it is being used by multiple companies such Pyypl, Tranglo and SBI Remit. ODL has been helping payment service providers to improve internal treasury flow which then reduces business cost as it helps to smoothen out operations.
Louis Liu, founder and CEO of FOMO Pay had stated,
We are excited to partner with Ripple to leverage On-Demand Liquidity for treasury management, which allows us to achieve affordable and instant settlement in EUR and USD globally.
It has targeted to make a headway in the treasury settlement market which has witnessed more than $3.5 billion in annual expenditure to manage the liquidity crises.
Japan’s SBI Remi has also partnered with ODL solution to transfer money from Japan to the Philippines last year. Other companies have integrated with the Ripple ODL service too.
The blockchain and crypto solution’s payment technology has been stellar and it has helped XRP to sail through despite the lawsuit in the U.S owing to unregistered sale of XRP.
Brooks Entwistle, SVP and Managing Director at Ripple mentioned that,
With the Asia Pacific region teeming with opportunities to solve existing silos and inefficiencies with payments, we’re seeing many forward-looking financial institutions clamouring for the next evolution of payment infrastructures – and notably based on crypto and blockchain technologies. This is why we are so excited to launch this crypto-enabled treasury management use case for ODL with innovative customers like FOMO Pay.
Ripple was the first company which leveraged crypto to handle the trillion dollar challenges with cross-border payments. RippleNet uses the blockchain technology to help its partners all across the globe to speed up business performance and also help them scale.
Through this technology, it delivers superior end-customer experience, also ensure that network partnering gets seamless, offer better liquidity management solutions, lines of credit and access to state-of-the-art infrastructure which would help partners to operate real-time payments.