Key Insights:
- Ripple showcases a new “Ripple Payments” demo, positioning XRP as a liquidity bridge for faster cross-border transactions.
- Circle, Stripe, and Google develop payment-focused blockchains, directly challenging Ripple’s role in digital settlement.
- Google’s Universal Ledger aims for multi-asset settlement, potentially reducing reliance on Ripple’s XRP network.
Ripple has rolled out a demo of “Ripple Payments” on its official website, showing how its Liquidity on Demand service uses XRP to facilitate transfers. The release comes at a time when other major players, including Circle, Stripe, and Google, are preparing their own payment-focused blockchains.
Ripple Payments and Liquidity on Demand
The demo highlights how Ripple’s platform is designed to make cross-border transactions faster and more efficient by tapping into XRP for liquidity. For years, Ripple has presented its technology as a way for institutions to bypass traditional correspondent banking networks.
JackTheRippler, an industry commentator, shared news of the demo, writing, “Ripple Payments is ‘Liquidity on Demand’ —> #XRP.” The move keeps Ripple focused on embedding XRP within its payments network while strengthening its pitch to financial institutions.
New Payment Blockchains Emerging
Meanwhile, several well-known firms are building their own blockchains aimed directly at payments. Circle is developing Arc, a network that uses USDC as its gas currency, removing the need for native tokens to cover fees. Stripe is working on a project called Tempo, designed to speed up and lower the cost of stablecoin transfers for enterprise users.
Google’s project, the Google Cloud Universal Ledger (GCUL), goes further. It is planned as an open-ended platform for blockchain payments that can support multiple assets, including stablecoins. GCUL could expand into areas such as foreign exchange settlement and treasury services.
Competition in Cross-Border Payments
Ripple has long marketed itself as uniquely positioned to power mainstream payments. But stablecoins now offer many of the same features, especially for cross-border transfers. This puts Ripple in closer competition with companies leveraging stablecoins for settlement.
Ripple introduced its own stablecoin, RLUSD, in 2024 to cater to institutions. However, Circle and Tether continue to expand their stablecoin products, strengthening their presence in Ripple’s target market.
XRP’s Role Moving Forward
Analysts see Google’s GCUL as a strong rival. With its single API for multi-asset settlement, the platform could offer banks a broader alternative to Ripple’s network. This may reduce demand for XRP as a bridge currency if institutions adopt GCUL for stablecoins, tokenized deposits, and CBDCs.
By releasing the Ripple Payments demo, the company is emphasizing XRP’s role at a time when blockchain payments are entering a new competitive phase driven by some of the largest tech and finance names in the industry.
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Source: https://coincu.com/news/ripple-unveils-ripple-payments/