The UAE Exchange, one of the largest remittance companies in the United Arab Emirates, began working with Ripple to launch payments using blockchainBlockchain
is a continuous and sequential block chain of information (digital linked list). When building a blockchain, copies of related blocks are simultaneously stored on multiple computers.Details technology in Asia. The launch is scheduled for the first quarter of next year, as reported by the CoinDesk news agency.
According to a Reuters report published on Thursday, CEO of Promoth Manghat, said that he was counting on the support of "one or two banks in Asia" to introduce a network of payments based on the RippleNet blockchain.
Given the huge number of Asian workers in the UAE, the "financial corridor" to Asia constitutes the largest part of the global flow of remittances. According to statistics, transfers to India accounted for 36.7 percent of the total UAE remittances, to Pakistan – 8.8 percent, and to the Philippines - 6.9 percent.
On the website of the UAE Exchange it is reported that it is associated with more than 140 banks and is represented in 31 countries. However, it is also said that the blockchain implementation process is too slow.
From the message on the UAE Exchange website: "Blockchain has great prospects for the industry (...) we need to make progress in its development (...) before the technology will be used in all banks of the world".
Recall that the cooperation of the UAE Exchange with Ripple was first reported back in February of this year. Ripple then signed agreements with several financial institutions around the world for money transfers based on blockchain technology. Ripple's recent partners include CIMB, the Malaysian banking group; Coinone, the South Korean crypto-exchange; and PNC, the American bank.
UAE Exchange has announced cooperation with Ripple – this is the first step to improve the "financial corridor" between the UAE and Asia.
Editor: Yuliya Soroka