Dozens of financial institutions around the world want blockchain solutions to enhance their services. So far, finding the right blockchain provider has proven to be rather difficult. All of the bankings using Ripple’s technology seemingly do fine right now. Bank of England recently conducted a cross-border payment test using this DLT. This is yet another validation of the Ripple Consensus ledger, to say the least.
One thing Ripple has going for it is how no part of their project related to cryptocurrency directly. To be more precise, their XRP asset is not a cryptocurrency. Most of the technology powering the Ripple Consensus Ledger has nothing to do with cryptocurrency either. For banks, it is an ideal solution to bridge the gap between traditional finance and blockchain. Very few institutions want to be associated with Bitcoin or its technology at this stage.
Bank of England is Optimistic About the Ripple Consensus Ledger
Ripple is very different in all aspects, which is what makes it so attractive to banks. There is a degree of centralized control, and it is seemingly compatible with existing infrastructure. In fact, any bank around the world hook into the Ripple Consensus Ledger for real-time payments. Bank of England is one of those institutions looking to improve their transaction speed. Rather than wait three days, transactions are completed in seconds or minutes.
Moreover, the Ripple Consensus ledger doesn’t require human interaction per se. Since everything is taken care of automatically, there is no reason for delays. Additionally, the XRP asset is clearly designed to be used by banks looking to venture into the world of blockchain. With this successful test behind, it will be interesting to see what the BoE has planned next.
The Bank of England took away some interesting points from experimenting with the Ripple Consensus Ledger. There is a single source of truth between different ledgers, removing the need for mutual reconciliation. Additionally, they feel Ripple’s product is designed to handle cross-border payments and its challenges. It is evident the Ripple Consensus Ledger continues to impress banks all over the world. The new era of banking is almost upon us.
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