A Ripple executive said that the regulatory environment could possibly calm down in India and the RBI could possibly overturn the ban on cryptocurrencies.
“There is a great regulatory comfort with Ripple Net, particularly in the light of the Bank for International Settlements’ policy requiring central banks to have a backup for payment systems having non-similar technology,”
According to a latest report by TOI, Ripple has tied up with private lenders Yes Bank, Axis Bank and IndusInd for using the blockchain-based platform for payments without the use of the cryptocurrency asset. It, however, maintains that it aims to use XRP in future as a ‘connecting cryptocurrency’ to facilitate remittance.
While these banks use RippleNet, the firm’s enterprise blockchain solution, Ripple also offers xRapid, a blockchain platform for banks powered by its native crypto token XRP.
Rao contends that Ripple could benefit central banks as a backup to traditional payments systems that are vulnerable to intrusions or cyberattacks.
In May, the Indian Supreme Court ruled that no further petitions against RBI’s banking blockade were eligible to be filed until the next scheduled hearing date for existing petitions on July 20, 2018.
“Even from a geopolitical point of view, countries are having concerns over the existing cross-border payment systems, which can be switched off with a turn of the switch,”
Ripple has already roped in the Saudi Arabian Monetary Authority, the country’s central bank, to join over 100 financial institutions globally on RippleNet.