xRapid is part of Ripple, which is “for payment providers and other financial institutions who want to minimize liquidity costs while improving their customer experience,” the description from Ripple’s site read.
As the pilot testing has proven, xRapid is indeed able to stay true to its purpose. For payments done between the US and its neighboring country Mexico, Ripple claimed that financial institutions were able to save 40-70% of the usual cost that they pay for foreign exchange brokers.
In a report by the Pew Research Center in January 2018, around $574 bln was remitted by migrants to their relatives in their home countries in 2016. Consequently, remittances had fees estimated to amount to $30 bln. And if xRapid’s technology is employed in every country and in every remittance made, the world could save up to $21 bln each year.
Ripple is based mainly in San Francisco, CA, but it also has offices in New York, London, Sydney, India, Singapore, and Luxembourg. The said firm focuses on “send[ing] money globally using the power of blockchain,” the Ripple overview read.