A remittance firm based in Abu Dhabi has inked a new partnership with distributed ledger startup Ripple.
UAE Exchange will use the company’s RippleNet product for cross-border transactions, with the aim of reducing the cost and frictions associated with such transactions. It was reported last year that the company, which says it operates nearly 800 branch locations in 31 countries, was eyeing a deal to use Ripple’s technology.
In statements, UAE Exchange said it was looking to deploy the tech in a bid to boost its competitive edge in the market for remittances.
“The early adoption of this game-changing technology allows us to offer a competitive service, as it will have an impact on the speed and cost of cross-border transactions,” Promoth Manghat, the company’s chief executive, was quoted as saying by Business Insider.
However, the partnership will notably not use Ripple’s XRP token to provide the UAE Exchange liquidity. Instead, the exchange will use Ripple’s blockchain platform for transactions.
UAE Exchange chief executive Promoth Manghat said the partnership will provide his company’s customers faster, lower-cost transactions.
“The early adoption of this game-changing technology allows us to offer a competitive service, as it will have an impact on the speed and cost of cross-border transactions.”
LianLian is also using RippleNet, while Santander UK is utilizing xCurrent, another Ripple product. Mercury FX, IDT Corporation and MoneyGram are all trialing Ripple’s xRapid product, which makes use of the company’s XRP token.
Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in Ripple.
Abu Dhabi image via Shutterstock