Western Union Confirms Collaboration with Ripple

After weeks of speculation, the global payment services provider admits it is testing blockchain technology

by Viko
15 February • 1 min
In News

Global money transfer company Western Union has confirmed it is testing transactions with the Blockchain-based platform of San Francisco-based Ripple, which provides for almost instant and low-cost money transfers and currency exchange.

Rumors about the potential partnership have been circulating for a couple of weeks now, while last month rival MoneyGram teamed up with Ripple to enable its clientssend cross-border payments quicker and cheaper.

In a conference call on Tuesday, Western Union CEO Hikmet Ersek said the company is interested in the Blockchain capabilities regarding settlement processing, working capital optimization, and issues relating to regulation and compliance.

“And we do test, we do have some tests with Ripple,” Ersek said as quoted by Bloomberg.

The news agency cited also a statement by Ripple, in which the crypto company said it had been testing different products with Western Union and expects pilot implementation of xRapid, which uses XRP in payment flows.

Earlier this week, Ripple said one of the largest money transfer institutions in the Middle East, UAE Exchange, has agreed to join RippleNet, the company’s enterprise Blockchain network, which has more than 100 banks and financial institutions as members.