Ripple CEO Brad Garlinghouse recently projected that XRP, the company’s cryptocurrency, might capture 14% of SWIFT’s cross-border payment volume within five years. This bold prediction was made during his keynote at the XRP APEX 2025 event in Singapore.
The Role of XRP in Cross-Border Payments
Liquidity Over Messaging
Garlinghouse emphasized that while SWIFT handles payment messaging, the critical challenge lies in liquidity management. “I think less about the messaging and more about liquidity,” he stated. XRP’s utility as a bridge currency enables instant currency exchanges, reducing reliance on traditional banking systems and parked overseas funds.
Blockchain’s Competitive Edge
Enterprises are increasingly adopting blockchain-based cross-border payment solutions to bypass inefficiencies like high fees, delays, and capital trapped in correspondent accounts. According to a PYMNTS Intelligence report, blockchain’s distributed ledger technology (DLT) slashes transaction costs by up to 80% and settles payments in seconds, not days.
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Industry Adoption of Crypto Solutions
Shopify and Stablecoins
Shopify recently rolled out USDC stablecoin payments, enabling merchants to transact globally as seamlessly as locally. This move aligns with the growing demand for cost-effective, borderless payment options.
Uber’s Stablecoin Exploration
Uber CEO Dara Khosrowshahi revealed plans to evaluate stablecoins for cross-border transfers, citing their potential to lower remittance costs. “That’s super interesting to us,” he noted, signaling broader corporate interest in crypto-based solutions.
FAQs
How does XRP improve cross-border payments?
XRP acts as a bridge currency, facilitating instant liquidity and reducing reliance on pre-funded nostro accounts.
What advantages does blockchain offer over SWIFT?
Blockchain enables faster settlements (seconds vs. days) and lowers costs by eliminating intermediaries.
Why are companies like Shopify adopting stablecoins?
Stablecoins like USDC provide price stability and reduce friction in international transactions.
👉 Learn more about crypto-powered payments
Key Takeaways
- XRP aims to capture 14% of SWIFT’s volume by 2030.
- Blockchain reduces costs by 80% and accelerates settlements.
- Major firms (Shopify, Uber) are piloting crypto-based cross-border solutions.