A group of South Korean money transfer and remittance companies has joined Ripple’s blockchain-based financial services network RippleNet in a bid to help their clients to facilitate superfast, secure and cost-efficient remittances and cross-border payments.
Ripple revealed in an announcement that South Korea-based money transfer service providers Sentbe and Hanpass, and mobile and online based cross-border remittance services firm WireBarley have begun using the RippleNet platform. The collaboration is geared to improve remittances in Korea. These firms aim to facilitate faster and cheaper cross-border payments via RippleNet.
“South Korea is a hotbed of fintech innovation, and we’re committed to grow our customer base and presence. Since the Korean government started licensing payment providers for remittance in 2017, we have witnessed how Korean payment providers dramatically improved payments experience for their customers, and we are pleased to be part of their on-going efforts.”
– Emi Yoshikawa, senior director of global operations at Ripple.
Ripple says another remittance firm, Coinone Transfer, leveraged its RippleNet solution to launch South Korea’s first blockchain-based remittance mobile app in 2018, and the startup has been providing users in nearby markets including Thailand and Sri Lanka with fast and low-cost payments; experienced a 50% month-over-month growth rate in payment volume since joining the Ripple’s network.
Ripple said that almost half of its RippleNet customers are based in the Asia-Pacific (APAC) region. Ripple blockchain solutions have continued to attract financial institutions and fintech firms from around the world. Since its launch, more than 200 firms, including Euro Exim Bank, Ahli Bank of Kuwait, and SBI, have joined RippleNet.
According to the World Bank, workers’ remittances, receipts in South Korea amounted to over $6.2 billion, in 2018. The top destination country for emigration-related remittances by South Koreans was reportedly the United States, which constituted more than 50% of the total number of remittances.