Santander Bank to Launch Ripple-powered Payments Solution in Mexico

Spanish banking giant Santander is bringing its Ripple-powered payment solution to Mexico this year. Mexico will be the seventh country for the bank to introduce blockchain-based services.

March 30, 2020 | AtoZ MarketsAiming at improving transparency, efficiency, and general client satisfaction Spanish bank Santander is going to launch its Ripple-powered payments solution in Mexico later in 2020.

Ripple looking to tap the Mexican remittance market

This has become known from a Form 20-F filed with the U.S Security and Exchange Commission (SEC) earlier this month. In it, the Spanish bank revealed that the Santander Ripple-powered solution One Pay FX would begin operation in 2020.

Santander is already offering One Pay FX-based services in Spain, Brazil, Poland, and the United Kingdom since 2018. Moreover, Santander Portugal and Chile joined the list the following year. Mexico will be the seventh country for the Spanish lender to offer blockchain-based payments.

What Santander and Ripple Can Offer

Launched by Ripple in 2018, One Pay FX facilitates cross-border payments leveraging RippleNet to settle transactions. Notably, the product does not use XRP for settlement.

The Spanish bank explained One Pay PX as “the first multi-corridor international blockchain solution in the world for individuals and SMEs- was launched in four Santander Banks.”

“One Pay FX offers transparency & predictability, competitive cost, digital experience, and better speed, improving the current sub-optimal customer experience and client stickiness through a best-in-class global payment system,” the filing noted.

Santander is one of the major banking partners of Ripple which became involved with the San Francisco-headquartered blockchain company in 2015 with the investment of $4 million in its Series A funding round. Ripple raised $32 million in that investment round.

Read: Egyptian National Bank Partners with Ripplenet For Remittances

The news came only a week after International Money Express (Intermex), another cross-border payment giant, revealed that it will not use RippleNet in its core markets including Mexico.

While on-barding the Nasdaq-listed firm, Ripple touted that Intermex would utilize Ripple’s services for cross-border payments settlement in Mexico.

Meanwhile, Ripple is aggressively expanding its services in many markets partnering with established players. Earlier this month, the company tied with Thailand’s fintech firm DeeMoney for cross-border money transfers.

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