SWIFT, the global financial messaging services company, unveiled the SWIFT Go service in July last year, entering market competition with Ripple in low-value cross-border payments. At the time, only seven major global banks had signed up to use the service.
According to a recent SWIFT publication, this number has grown as more than 500 banks in 120 countries have signed up to enable low-value payments through the Swift Go platform. SWIFT Go runs on SWIFT gpi (Global Payments Innovation), which combines the traditional SWIFT messaging and banking systems.
Swift gpi was a reaction to Ripple. https://t.co/oIeyLmMeCB— xrpdarren 78k (@Fame21Moore) December 19, 2022
In October, Swift announced an innovation from its discoveries to address the enormous difficulty of interoperability in cross-border transactions by linking multiple distributed ledger technology (DLT) networks and existing payment systems.
Ripple utilizes DLT (distributed ledger technology), which many tout as a more efficient platform for cross-border payments.
Is Ripple ready?
Since its inception in 2012, Ripple has faced increased competition from a wide range of consortia, but it has managed to carve out a distinct niche. Ripple is the first member focused on Distributed Ledger Technology (DLT) to migrate to the ISO 20022 standard in 2020.
Ripple recently announced its expansion into Africa and also its first On-Demand Liquidity (ODL) customer in France when it partnered with Lemonway. RippleNet's annualized payment volume run rate now exceeds $15 billion as ODL records 9x growth year over year. Ripple's ODL now supports 40 payout markets, including Singapore, Malaysia, Poland, Indonesia, Thailand and more.