November 8, 2018. SendFriend, a Ripple-powered xRapid payments solution aims to cut costs and speed up remittances from the US to the Philippines. It is another addition to blockchain-powered remittance solutions who want help reduce remittance costs and at the same time make it instantaneous.
Another addition to the growing number of remittance players in the country is SendFriend. It runs on Ripple-powered xRapid payments solution developed by MasterCard, MIT Media Lab, and Ripple.
Currently, SendFriend is still on its development stage and is expected to be up and running before the year ends. It is also catered to Filipinos and migrants living in the US who want to send money to the Philippines at an affordable cost.
Because of blockchain, this new remittance platform can cut up to 65% of the usual transfer rates.
Since it uses Ripple’s xRapid payments solution for its cross-border payments, Mr. David Lighton, CEO and Founder of SendFriend gave a few words about the technology.
“That allows us on the back end to be more efficient with our capital. These are real-time settlements so we don’t have to do pre-funding, we don’t have to park money in the receiving corridor and then manage the foreign exchange risk. We can just do it one by one as the transactions go through.” – Mr. David Lighton, CEO and Founder, SendFriend
As of this writing, the team is still working its way to get remittance licenses in the United States. Although, New Jersey residents can send money to the Philippines soon using its app.
SendFriend is just one of the many remittance players in the country trying to alleviate the remittance costs by using blockchain. There is Rebit by SCI Ventures, Investment Evolution Coin Ltd based in Singapore for OFWs in Europe and Middle East, Alipay for OFWs in Hong Kong, Aniko for OFWs in the Middle East, etc. These companies are trying to get a hold of the country’s around $2.35 billion worth of remittances a year.
In a study by Ken Research, the use of blockchain in remittances will help lessen its cost by 2022. According to the research, the ethereum blockchain will play a big role in it.
Mr. Luis Buenaventura, Founder of Bloom Solutions, also shared his thoughts in an interview with ANC on the adoption of blockchain technology in remittance. He said that the lack of awareness hinders its adoption as current remittance companies are not aware that they can use the technology.
Source: Ripple Coin News