Ripple is reporting an exponential rise in volume on its XRP-based remittance product known as On-Demand Liquidity (ODL).
In its Q4 XRP Markets Report, Ripple says the amount of money flowing through ODL increased 550% in 2019.
“In 2019, dollar value transacted through ODL increased more than a hundred times between Q1 and Q4, and specifically from Q3 to Q4, by 550%. The number of ODL transactions also increased by 390% from Q3 to Q4, showcasing high customer demand for leveraging digital assets, specifically XRP, in cross-border transactions.”
Ripple launched ODL in October of 2018. Since then, 24 companies have signed up to use the platform, including MoneyGram, goLance, Viamericas, FlashFX and Interbank.
ODL is designed to give companies a legally-compliant way to move money across borders instantaneously by utilizing the cryptocurrency XRP. Financial institutions send fiat currency to crypto exchanges that can convert it to XRP. They then send the digital asset to a corresponding exchange in a matter of seconds, where it is turned back into fiat.
MoneyGram remains the biggest user of ODL to date. The company says it’s moving 10% of its transaction volume between the United States and Mexico through ODL.