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How payments merchants can utilise blockchain to expand to new markets and increase revenue

“Ninety percent of what we see today won’t exist in 10 years’ time, but 10 percent of it will change the world” – Chris Larsen, CEO, Ripple.

This statement might be the summary of it all. The
world is constantly changing, and with this change, new technologies and
approaches are revealed, defining the future business and communications.

Global cross-border payments have been the main driving
engine behind the recent international commerce great upsurge. However, in
order to fuel this growth even further, new approaches and technologies must be
utilized.

According to recent research released by McKinsey &
Company, global payments revenues grew 11% in 2017, which is the highest growth
rate for the past five years and are expected to grow in a steady pace in
conjunction with the growth we see in cross-border payments and across all
international commerce segments. Companies like Alibaba and Amazon are
record-breaking year after year, with smaller manufacturers and SME’s now, more
than ever, are able to take advantage of less conventional payment solutions
like e-wallets, real-time payment systems and credit cards, allowing them to
sell their products and services to a rapidly growing number of new markets and
customers now connected to the digital commerce and ensuring increasing
customer demand.

Global digital commerce volume exceeded $3 trillion in 2017 and is expected to more than double by 2022. Such enormous growth cannot rely solely on the current payment solutions, and new, already existing, technologies must be utilized to support this growth.

The growth we notice is not passing over without
complications. Growing demand for quick settlement, transparency, AML and
regulatory constraints, push costs up and require new technologies to support
further growth.

Blockchain platforms like Ripple and others were
developed to address each one of these constraints, implicating cross-border
payments by providing a standardized, decentralized infrastructure; full
visibility for fees, delivery and status; Transaction route optimization and
costs reduction.

As the hurdles for blockchain based payment systems
adoption are decreasing, more and more financial institutions are exploring
ways to implement this technology in their core solution offering. As more
financial institutions will embrace this technology than more SME’s will be
able to utilize it to expand to new markets and segments.

What was once a slow, not-transparent and relatively
expensive process might soon become much more frictionless and cost-effective,
supporting the international commerce growth and even motivate industry leaders
and newcomers exploring new technologies and approaches fueling this growth
even further.

The UK-based electronic money institution (EMI)
MoneyNetint, has recently announced the deployment of the blockchain-based
payment platform developed by Ripple enabling MoneyNetint to connect with other
global financial institutions already deployed on the RippleNet and utilize the
wide range of new corridors and local payment schemes now being available. This
new service will enable merchants of all sizes, operating on a cross-border
basis, to expand their operations while reducing costs by opening a corporate
account with MoneyNetint.

Since the establishment of MoneyNetint in 2004, the company has positioned itself as one of the more reputable private payment companies in its field. Its platform enables the transfer of secure payments online through electronic wallets, local payment schemes and international bank transfers, as well as currency conversions in a fast and cost-effective way.

Interested in hearing leading global brands discuss subjects like this in person? Find out more at the Blockchain Expo World Series, Global, Europe and North America.

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