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Ripple Price Predicted to Rise with Key Links to Mastercard, Barclays and Western Union

  • Jack Thomas
    🤷 Opinions

    Ripple is known for making partnerships with banks, but it is starting to enter the space of remittance and money sending services

Ripple Price Predicted to Rise with Key Links to Mastercard, Barclays and Western Union
Cover image via u.today
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Ripple, the company behind the XRP token and a number of key banking partnerships intended to help with cross-banking transactions, is starting to encroach into a new arena. Through investments in a company that uses the XRP token and the product xRapid, Barclays and Mastercard are starting to get up close and personal with Ripple.

Furthermore, Western Union confirmed that they are piloting some settlement tests with Ripple for certain corridors, which is positive news for the cryptocurrency company and its investors.

The indication is that major companies that are actively involved in interbanking and cross-border payments are beginning to look to improve their own systems with these kinds of experiments and investments.

Cryptocurrencies have always provided an alternative to traditional and institutionalized banks, but it is Ripple that a lot of the more stringent ones are looking at. Ripple and its xRapid offering have prided themselves on being regulatory compliant, and thus are attractive for the likes of Barclays and Mastercard to invest in and Western Union to test out.

SendFriend Remittance

Both Barclays and Mastercard, two of the world’s largest financial service companies and banking institutions, have put money into a remittance company called SendFriend. This company is currently using the XRP-based xRapid service.

SendFriend is primarily targeting a Philippine and U.S. remittance market, utilizing the xRapid service to exchange USD and Philippine pesos with XRP to create cheap, frictionless cross-border transactions that occur almost instantly.

Clearly this market is attractive to the likes of Barclays and Mastercard, and they are looking to get involved by backing such a company in funding. Thus, they are inadvertently promoting the use of cryptocurrencies in this space, adding a lot of legitimacy to the likes of Ripple

Western Union shows interest

Another piece of positive news for Ripple is that Western Union, a company that specialises in sending money across borders and may well feel under threat from cryptocurrencies, is interested in testing out xRapid.

Western Union’s Global Money Transfers General Manager in Asia Pacific, Molly Shea, said in a podcast interview with Analyse Asia:

“We’re piloting some settlement tests with Ripple for certain corridors, the US Dollar and the Mexican peso is one example...learning about possible opportunities...the options that we choose need to be legitimate and widely acceptable for consumer use.”

Once again, this shows that the other major financial institutions are starting to see a value, rather than a threat, in the likes of XRP and Ripple.

More good news for Ripple

It is news like this which points in a good direction for Ripple and cryptocurrency in general as there is a change in the air. More use cases and experimentation in cryptocurrency to prove its value will lead to an uptick in demand, and thus boost the market down the line.

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About the author

Jack Thomas is a journalist from Australia who has had a long career writing about finance and technology. He has combined his enthusiasm for these two subjects and applied his writing to covering blockchain and cryptocurrencies in the past few years.

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Telegram to Ask Court Not to Classify Gram Tokens as Securities During February Hearing: Details

  • Alex Dovbnya
    📰 News

    The February court hearing is expected to put an end to the legal battle between Telegram and the SEC by determining whether Grams are securities

Telegram to Ask Court Not to Classify Gram Tokens as Securities During February Hearing: Details
Cover image via www.123rf.com

Telegram will ask the court rule against classifying their Gram tokens as securities during the upcoming February hearing, according to a letter to TON investors that was obtained by U.Today. 

As reported by U.Today, Telegram was slated to voice its arguments against the US Securities and Exchange Commission (SEC) on Oct. 24. However, a new court filing shows that the hearing has been postponed to Feb. 18-19, 2020.

IT IS ORDERED that Defendants shall not offer, sell, deliver, or distribute “Grams” toany person or entity, until the conclusion of the hearing scheduled by the Court for February 18and 19, 2020 (“Hearing”), except upon further order of the Court or agreement of the parties.

The Telegram team states that the hearing that is scheduled to take place in February is fundamentally different from the one that was supposed to happen in October. Telegram expected the court to put an end to the ongoing dispute by ruling on the "core arguments" that their Gram token is not a security. 

The October 24 hearing, in contrast, was only to consider whether a delay should have been mandated, without conclusively resolving the core argument. 

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On Oct. 17, Telegram filed a response to the SEC where it states that its native token "will merely be a currency or a commodity." One day later, the regulatory watchdog asked the court not to reject its request for a preliminary injunction against the Pavel Durov-helmed company, adding that its argument about Grams not being securities wasn't convincing.

Telegram will make sure that its position is presented "as strongly as possible" during the forthcoming hearing. 

The Telegram Open Network (TON) was scheduled to go live by Oct. 31 (otherwise, Telegram would have to return money to its investors). However, the SEC sued the messaging giant for allegedly running an unregistered ICO, which forced the company to delay the launch of its network to Apr. 30, 2020 while trying to cut a deal with its investors. 

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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