Co-founder of TransferWise, Taavet Hinrikus (Taavet Hinrikus) explained why his company still does not use the blockchain technology for processing of remittances. In an interview with “Balancing the Ledger”, which appeared in the network yesterday, Hinrikus said that “it would be great if all banks were connected to the Ripple network”, but the actual application of the blockchain-not yet possess the necessary TransferWise scale.
Hinrikus added, that TransferWise is good to know the team, Ripple, Stellar and other blockchain-related startups, but no platform seemed to them convincing:
“[…] It all looks great on paper, but in practice to benefit from it is quite difficult […] At the moment none of the blockchain does not have the desired scale. It would be great if all banks were connected to the Ripple network. But the list of banks using it is very short. We support Ripple. We know this team. Know more. And when any of these platforms will be used widely enough to really help us work faster and at lower cost, we will be happy to join, but for now we have a blockchain not found”.
Henricus did not disclose the details of TransferWise, however, said that the company works exclusively on the native architecture without the involvement of SWIFT. Due to the lack of a large number of intermediaries and direct channels between departments TranswerWise monthly processing transactions with a total value of more than $4 billion.
Preserved despite industry skepticism, Ripple more actively expanding its partner network, bringing XRP Ethereum recently surpassed in ranking by market capitalization. The token has become more accessible for institutional investors: last week, Coinbase Custody of the beginning of the service investment in XRP, which some took as an interim step before the listing of the asset on the main platform of the exchange.