Birla added that to “to move money internationally, there’s two components. There’s a messaging component, but then you actually have to move the funds. That’s not what SWIFT does. SWIFT only does the messaging,” and that RippleNet does both. He said:
“Using SWIFT for messaging is like what’s happening using a fax machine today. So, we modernize that using APIs. It’s real-time. But then we also do the settlement. There’s not another solution out there that does both instantly like Ripple. And so, our solution is now a lot bigger than what SWIFT does.”
Per his words, SWIFT “is going to be around for five years” as it “takes a long time to change like the entire banking system.” It’s worth noting that RippleNet is one of Ripple’s solutions for cross-border transactions.
It offers “connections to hundreds of financial institutions around the world via a single API and makes moving money faster, cheaper and more reliable.” RippleNet helps eliminate the use of pre-fund accounts with its On-Demand Liquidity (ODL) solution, which uses the XRP token to source liquidity during cross-border transactions.