Swift also claims to facilitate fast payment, a competitive advantage for blockchain and cryptocurrencies in addition to reducing the cost of cross-border payments. However, Ripple has gained more grounds in a short time especially in the recent few months
Swift is using cloud-based global payments innovation (GPI) for banks’ corporate clients. It launched the platform last year in what it called the most significant overhaul in decades. The system includes delivery style tracking features.
Moreover, the company claims that more than 150 financial firms are using the platform and the platform deals reach $100 billion in payments each day. Swift already covers 10% of its cross-border payments traffic and works in more than 200 countries.
That’s a bit noteworthy for blockchain enthusiasts because it shows immense success and progress in the payments industry, in the sector that blockchain is hoping to disrupt.
Ripple Significance in Blockchain System
On the other hand, Ripple is making significant advances in its blockchain system. It has so far entered into a partnership with 100 members to test the RippleNet system. The system is much similar to Swift to the extent many people do not feel that it is decentralized. The company says the technology interoperates across ledgers and technology.
Institutional users on RippleNet can also track trace funds. It is also a quick method of making cross-border payments and is very popular. For instance, Swedish bank SEB sent $920 million via RippleNack from Sweden to U.S. Examples of companies testing Ripple network and XRP for payment include MoneyGram, Western Union. The popularity of Ripple, especially among banking and financial institutions, was the basis on which its value increased, especially last year, and XRP gained massive price increases.
Going by those statistics, it is likely that disruption of payment industries from blockchain and cryptocurrencies tech will take time. But while Swift has been in business for 40 years, not so is the case for Ripple with all the advances it made. Ripple CEO Brad Garlinghouse said he would test success in three to five years, not within months.