Curency exchange and remittance network technology company, Ripple, looking to expand its prescence in Asia has partnered with Siam Commercial Bank to create a mobile application powered by blockchain to deliver fast, cheap and instant cross-border payment.
The application to be developed by Ripple apart from delivering cheap and fast cross border payment will also enable QR (quick response) code for Siam Bank customers to enjoy remittance services alongside micro payment services.
Ripple’s partnership with Siam bank was announced by Ripple in a blog post where it was revealed that the app dubbed SCB Easy was demoed in December during Ripple’s annual customers’ event, Swell.
The blog post revealed that the app will target the Asian market initially, as eight out of the top ten countries using mobile payments can be found there.
SCB’s senior vice president, Arthit Sriumporn, announced on-stage that it is difficult for people to send and receive money as people have to physically go to a bank and wait to make and receive payments.
It is so difficult to send and receive money today. People must physically go to a bank branch, fill out long and complicated forms and wait for payments to be received—with no transparency. With our service, their loved ones from abroad can transfer payment and receive money immediately Arthit said.
Thailand and Cross-border payment dilemma
Following a survey carried out by PwC, it revealed that 86 percent of China’s population use mobile payments apps, with 67 percent of them located in Thailand.
Both Tourists and immigrants’ population continue to grow throughout the region increasing the demand for faster, more cost-effective ways to receive payments.
Arthit in his address to this need said with the app, tourist coming to Thailand, can use their home country mobile application to scan for payment and eliminate the need to exchange for local currency. He also said the app allows users to transfer funds “within 40 seconds.
Ripple’s further expansion plans in Asia
Ripple outside their success in 2019 are planning further expansion in Asia’s CLMV countries which are Cambodia, Laos, Myanmar and Vietnam.
On the other hand, Vietnam’s TPBank became the first Vietnamese bank to join RippleNet. It later launched a remittance service between Vietnam and Japan in collaboration with SBI Ripple Asia.