Blockchain giant Ripple teams up with Onafriq to create new payment corridors and improve cross-border payments
Ripple, a prominent player in the blockchain industry, is expanding its remittance capabilities in Africa and across its borders with Gulf nations, the UK, and Australia. This move is part of a strategic partnership with payments fintech Onafriq, aiming to open three new blockchain-based payments corridors.
The collaboration will connect Onafriq users in Africa with customers of PayAngel in the UK, Pyypl in the Gulf Cooperation Council (GCC), and Zazi Transfer in Australia. Ripple's goal is to cover 90% of FX markets and provide payment services to enterprises and SMEs. The price of XRP, Ripple's native cryptocurrency, has spiked due to recent developments, including approval by the Dubai Financial Services Authority and involvement in a central bank digital currency project with the National Bank of Georgia.
The partnership between Ripple and Onafriq aims to create new payment corridors between 27 African countries and Australia, the United Kingdom, and the Gulf Cooperation Council (GCC). This will involve the use of Ripple's blockchain technology and three partnering companies to facilitate transfers to these regions. The integration of Ripple's on-demand liquidity (ODL) solution is already in progress, addressing the significant role of remittances in cross-border payments to Africa.
Alongside its partnership with Onafriq, Ripple has also announced a new payment platform called Ripple Payments. This platform targets corporate clients without money transmitter licenses, aiming to simplify cross-border payments and attract new clients in the US. The partnership with Onafriq will enable customers of PayAngel, Pyypl, and Zazi Transfer to send money to recipients in 27 countries across Onafriq's pan-African network.
Ripple's recent partnerships and new payment platform demonstrate its commitment to expanding its global reach and improving cross-border payments. By leveraging blockchain technology, Ripple aims to provide efficient, cost-effective payment solutions for enterprises and SMEs across the globe.