Blockchain technology this year has made substantial strides of being adopted mainstream.
American Express has teamed up with Ripple, a fintech startup and together they announced this morning, the introduction of blockchain-based payments between U.S. corporate customers needing to send funds to U.K businesses that bank with Santander U.K.
This Business to Business (B2B) payment system is already in use and provides real-time tracking of non-card payments made between each customer between the U.S. and Britain.
While widespread use of this technology is years away, financial firms are hoping this new technology can reduce the cost and complexity of security settlements and international payments.
According to American Express’s Chief Information Officer, Marc Gordon, in a statement, this is just one step in a long quest for the company.
“American Express has a long history of integrating new technologies. This collaboration with Ripple and Santander represents the next step forward on our Blockchain journey, evolving the way we move money around the world.”
This collaboration is a huge win for Ripple, as they are currently in a legal battle with their rival startup R3. They are wanting to purchase Ripple’s cryptocurrency CRP, which has increased in value by more than 30 times.
Ripple also has the backing of many big-banks with their blockchain-based cross-border technology such as SBI Holdings, Accenture, and Chartered.
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