In December last year, the National Bank of Kuwait (NBK) announced the use of RippleNet in daily payments. However, it was unclear whether the bank would use XRP to process transfers and payments. It has now become known that this does not seem to be the case for the time being. While NBK’s Direct Remit money transfer system uses RippleNet to send and receive money, the XRP token does not play a major role in the financial services provider’s day-to-day operations.
In a brief statement, the bank states that the Direct-Remit system is designed as a fast transfer service with which customers can process payments around the clock. The financial institution describes the service as a major achievement, as its customers can now make money transfers anytime and in the shortest possible time. However, the service is only available for payments to and from Jordan. The bank is working on connecting more countries and banks to the system in the future.
Marcus Treacher of Ripple pointed out that the National Bank of Kuwait was an important partner in the region. According to Treacher, they are very pleased that NBK has started to make live payments for its customers via the Ripple network. Treacher further added that Ripple is working to connect NBK with other RippleNet partners. This will enable the company to make faster and cheaper payments.
Ripple has already partnered with a number of banks and companies in the Middle East. Ripple sees its payment system as a new global standard that will enable customers around the world to make cost-effective and traceable payments in real time. However, XRP does not yet play a role in the processing of international payment transfers. It therefore remains to be seen whether the future development of the Ripple network will provide for a comprehensive integration of XRP or whether its use will be limited to the Ripple network.