Ripple’s senior vice president of global operations says XRP can offer Filipino remittance recipients less volatility than a straight-up transfer between US dollars and Philippine pesos (PHP).
In a new interview with BusinessWorld, a Philippines-based newspaper, Eric van Miltenburg talks about Ripple’s use of XRP. He describes the methodology behind xRapid, which is designed to convert fiat currency into XRP, move the digital asset overseas, and convert it back to fiat in a matter of seconds.
“Volatility exists across all the coins. The volatility [for XRP] is relatively modest. XRP to peso, the amount of exposure is seconds, very minimal. Much more volatility in PHP to USD in three days than XRP.”
The Ripple VP says that his company is working with a local bank in the country, though he declined to specify which one. Miltenburg also notes that Filipino lawmakers have more work to do more to improve the remittance possibilities in their country.
“It’s taking several days. The costs are significant. That system is very broken. Leverage your technology and provide alternative technology – banks and non-banks.”
The Ripple VP says that remittance costs in the Philippines are about 7% or $14 of every $200 sent.
“It is not the technology that is the challenge but how we use it. The Philippines is one of the countries where the regulators are fast-forward. We’re optimistic.”
“The pace of growth in the Philippines will continue… We will double the size of our office and that’s reflective of the demand and activity in the region.”