Series Of Remittance Corridors Coming From Ripple and SCB
Siam Commercial Bank (SCB) has said it is creating a hub for cross-border payments by linking its Thailand business with other Southeast Asian banks, Crypto Gazette has learnt.
The bank says the move is part of its drive to employ technology in redefining its business pattern to make it more competitive, the CTO Colin Dinn was quoted to have said in a publication by DigFinGroup.
“We really have to be aggressive,” he said.
“In my view, in five to eight years, banks as they exist today will be irrelevant to customers, because there will be a product [e.g., a Google or a Facebook] between us.”
Around July, SCB invented a remittance corridor to Japan’s SBI Remit, employing Ripple’s xCurrent, a blockchain cross-border remittance tool by Ripple.
As it is now, SCB has now revealed that more remittance corridors within Southeast Asia is now underway, this will make the firm create a “hub”.
“We want to offer our capabilities not just into Thailand [via remittances] but across the region. We are building a hub; we want to partner with other organizations and create a new ecosystem around the technology that we’ve built.”
However, the hub is expected to have more partners beyond Southeast Asia.
The decision by SCB to employ Ripple tool, according to Dinn, is because the vendor’s remittance tool is fast, seamless, and gives room for collaborations to implement new and outstanding ideas.
He added that learning technology from firms like Ripple is one thing, but innovating the business model is tasking.
Dinn said, “Doing payments is easy when everything goes right,” adding that “The reality hits when things go wrong.”
Now, SCB intends making xCurrent available to SMEs and other corporate clients and companies looking to have an edge over their pricing and financing arrangements.
Lots of big banks are deciding to go for Ripple tools this days due to their perfomances. Last month, at the SWELL Conference, many financial institutions credit the outstanding performance of Ripple blockchain tools.
Niyi Adejare Moses Author
Niyi Adejare is a cryptocurrency analyst. He has written many articles on cryptocurrency, technology, and personal development.