Recently, Falk Rieker, Global Head of Industry Business Units for Banking at SAP, spoke about traditional banking institutions, Ripple and cross-border payments using Ripple network.
Falk Rieker stated that the majority of the banks across the globe are involved in activities related to blockchain technology. He also said that everyone is aware that the blockchain technology is “too important to ignore.” On the topic of how to achieve success, Falk said that in his experience over the years, partnering with other companies was the best approach.
He further said that Alberta Treasury Branches [ATB], a financial institution of Canada which focuses on business and retail banking, a well-know customer of SAP, have done a “significant re-platforming of its operations” to SAP over the past few years.
According to Reiker, the financial institution wanted to “innovate around their core” and had decided to approach Ripple for cross-boarder payments solution. This was followed by the three companies deciding the process for streamlining their cross-border payments between Canada and Germany.
After finalizing the process, it took the teams over 10 days to implement the plan and to set it up on the cloud. This includes creating an additional mobile web application and connecting them to the Ripple’s network. This was followed by the company sending live transaction from Canada to Germany.
Rieker continued to say:
“So what we were able to achieve in that proof of concept was that normally it takes the banks around 3 days could be two could be six, but on an average 3 days to send this transaction through multiple intermediaries.”
He further stated that they were able to process the transaction in 20 seconds. He concluded:
“And this is not just you know a benefit of cost and time this is first of all the benefit regarding customer experience.”
According to CoinMarketCap, at press time, XRP was trading at $0.31 with a market cap of $12.65 billion and has seen surge by more than 16% in the past 24 hours.