Ripple partners with Travelex to launch enterprise crypto payment service in Brazil
Ripple’s XRP token is set to be used to facilitate fast and cost-effective cross-border transactions in Brazil, after the launch of RippleNet's On-Demand Liquidity (ODL) with forex company Travelex.
Digital payment network Ripple announced on Aug. 18 that foreign exchange company Travelex will utilize RippleNet’s ODL to facilitate cross-border payments between enterprises by utilizing Ripple’s XRP token. It also noted that Travelex Bank is the first bank approved by Brazil's central bank to operate exclusively in foreign exchange.
Bom dia! Brazil is open for Ripple’s On-Demand Liquidity with Travelex—our first LATAM bank partner—and the first bank approved by the Central Bank of Brazil to operate exclusively in FX. We’re excited to bring crypto-native solutions to https://t.co/G6U8nh9jIY
While other Latin American companies such as Banco Rendimento, Remessa Online, Frente Corretora, and Banco Topazio have already used RippleNet services, the Central Bank of Brazil’s approval makes this the first time a Latin American bank has utilized ODL, said Ripple.
Travelex will firstly enable these cross-border payments between Brazil and Mexico, with plans to open up more payment avenues in the region and with more use cases suited to enterprise needs.
The news comes as the Brazilian government approved their first “Bitcoin law” in Apr. 2022, which set out to create a regulatory framework as to how cryptocurrencies would be regulated.
Brazil is also in the process of rolling out a central bank digital currency (CBDC). However, the decision has been a controversial one, with Economist Fabio Araujo of the opinion that the CBDC “will be able to halt bank runs and impose other restrictions on citizens’ access to money.”
Ripple CEO Brad
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