Ripple introduces new credit service for cross-border payments
California-based liquidity provider Ripple has launched Line of Credit, a new beta service on RippleNet, that will enable the users to profit from its On-Demand Liquidity (ODL) service to source capital on-demand and make cross-border payments at scale using the XRP token.
The Line of Credit service has been designed to simplify access to financial solutions that would ultimately accelerate business performance and scale. Unlike companies with big capital that allows them to scale their business quickly, many fntechs and small and medium-sized enterprises (SMEs) lack the resources to compete. Therefore, Ripple’s Line of Credit is ready to solve this issue by giving upfront access to capital for every market through one simple credit arrangement.
Those using ODL on RippleNet can purchase XRP from Ripple on credit—customers are charged one fee on the amount borrowed, with no hidden fees, and can receive approvals faster than through traditional means. <...> RippleNet customers simply take advantage of one simple XRP-based arrangement everywhere that ODL is available, regardless of sending destination or fiat currency, and costs a lot less than most other available credit options", the company stated.
The General Manager of RippleNet, Asheesh Birla, revealed that selected customers, who specialize in cross-border money transfers, were already able to test the pilot version of the service and experience the benefits firsthand.
“We’re providing customers with financial solutions that were once only available through legacy systems - now without the cost and overhead. This is the first of many more to come,” Birla said.