Ripple’s mission is to provide bank solutions allowing for faster payment settlement and lower foreign exchange fees. So they created the digital currency / ledger XRP.
XRP is the cryptocurrency used by the XRP ledger, which supports international currency exchange and remittances. All accounts on the network can send or receive XRP to/from each other, while XRP can be used to send underlying fiat currencies between two parties.
Back in January of 2018, Ripple partnered with MoneyGram, one of the world's largest money transfer companies to pilot XRP in their payment flows. That July, Ripple made some noise by acquiring a stake in MoneyGram.
So why would Financial Times say Ripple was moving away from cross-border payments? The Financial Times was saying Ripple was looking to reinvent itself due to a lack of positive results and low adoption of its technology. However, Brad Garlinghouse had some words for Financial Times and went on Twitter to talk about it.
Since the launch of its XRP remittance platform in October 2018, Ripple said the platform has processed $2 billion in volume to date. In addition, total volume increased more than 10X in the last 12 months. MoneyGram, remains the top user of the remittance network. However, recently Goldman Sachs sold $6.5 million in MoneyGram. Now Goldman Sachs still owns 18 million units of common stock in Moneygram, but if Goldman Sachs believes in MoneyGram and indirectly Ripple, they would be buying more shares.
Regardless, people are buying XRP, as the chart suggests price can continue moving higher to the weekly supply at $0.40.
This post is my personal opinion. I’m not a financial advisor, this isn't financial advice. Do your own research before making investment decisions.
