Arab Regional Fintech Working Group Lists RippleNet as Alternative to SWIFT

The Arab Regional Fintech Working Group has recommended using RippleNet in place of SWIFT. The Working Group published “A Practical Guide for Arab Central Banks” to better understand the ever-growing cryptocurrency space. In an attempt to come up with a payment alternative to Central Bank Digital Currencies (CBDCs), there have been many endeavors towards this purpose. The central banks got the suggestion to upgrade their “messaging protocols” with payments networks such as SWIFT GPI and, majorly, RippleNet. RippleNet offers an easier means of payment for hundreds of financial institutions around the globe. Examples of the institutions that RippleNet offers its services to are American Express (NYSE: AXP) and Bank of America (NYSE: BAC).

The report stated that one of the earliest digital assets developed principally for payments was $XRP. This is unlike other cryptocurrencies, which were mostly referred to as “speculative” store of value. The legal combat between Ripple and the US SEC has once again put the cryptocurrency in the spotlight. This has brought both positive and negative effects to Ripple’s native digital asset. The court case has gone on for over a year, causing a decline in the $XRP’s value and attracting attention. The lawsuit is reportedly coming to an end which could cause a significant increase in the price of $XRP. This shows an understandable view of the Arab Regional Fintech Working Group for the interest in RippleNet. It also puts RippleNet in an important position regarding the future of blockchain-based financial institutions.

At the time of writing, $XRP is at 6th position on CoinMarketCap and is trading at $0.7815. The trading volume has dropped by 28.40% in the last 24 hours, while the price also reduced by 1.68% over the same period. $XRP’s market cap is currently over $37billion.

Arab Regional Fintech Working Group Suggests RippleNet Instead of SWIFT

Furthermore, the suggestion of RippleNet by the Arab Regional Fintech Working Group came after some disclosures about a Ripple Partner. Reports showed that a known Ripple partner, The Clearing House, joined forces with Wells Fargo on SWIFT alternatives.

Specifically, the Working Group talked about the digital Euro project. The paper explained the results of the European Central Bank ( ECB) experiments, showing the design decision, the possible use of the digital currency, and other related policies.

Ripple is now on the list of the supporting partners of the Digital Euro Association (DEA). According to the DEA, Ripple is a “gold supporting member” because of the company’s proficiency in the knowledge of CBDC. DEA chairman Jonas Gross is confident that the partnership will be necessary for CBDC use globally.

“We are thrilled that, due to the partnership with Ripple, we can extend the technological expertise of the DEA community. As more and more CBDC projects worldwide reach advanced stages, technological design of a CBDC will play a key role for policy-makers in the near future, while previous years focused primarily on research,” said he.