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XRP Is One of the Biggest Threats to Big Banks: Crypto Influencer

Published 28/08/2023, 20:22
XRP Is One of the Biggest Threats to Big Banks: Crypto Influencer
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  • Panos Mekras believes that XRP poses a significant threat to traditional banking giants.
  • The crypto influencer stated that blockchain tech like XRP is destroying the banks’ monopoly.
  • The influencer highlighted XRP’s utility as an alternative to the SWIFT messaging system.

Panos Mekras, the founder of DigitalGen Financial Services, believes that XRP is one of the biggest threats to traditional banking giants. The crypto influencer recently highlighted how blockchain technology and cryptocurrencies like XRP are destroying the monopoly enjoyed by big banks that dominate the global payments scene.

Mekras took to X (formerly Twitter) recently to demonstrate how XRP is disrupting the traditional banking system and its associated global payments network. According to him, the need for connection, accessibility, and interoperability has never been greater than it is in today’s interconnected global economy.

Mekras took issue with the Society for Worldwide Interbank Financial Telecommunications (SWIFT) system, a payment and messaging giant used by banks around the world. While SWIFT connects over 10,000 financial institutions globally, its monopoly results in higher fees for small banks and the retail customers that use the system.

Ripple threatens SWIFT’s monopoly by leveraging blockchain technology and disrupting and democratizing the financial system with XRP. The cryptocurrency offers high-speed and low-cost cross-border settlements in real-time through the XRP Ledger (XRPL). Mekras highlighted XRP’s utility as a bridge currency that eliminates the need for pre-funded liquidity in cross-border payments.

“For the first time, there is a tool that enables instant settlement with actual transfer of value. With XRP, institutions only have to hold their domestic currency and maintain one account with XRP which minimizes the number of intermediaries involved and their markup on spreads,” the crypto influencer added.

According to Mekras, SWIFT only offers an exchange of data, while XRP offers an exchange of actual value. He speculated that the SEC’s controversial lawsuit against Ripple and the disinformation against XRP may be motivated by the threat they pose to big players in traditional finance.

The post XRP Is One of the Biggest Threats to Big Banks: Crypto Influencer appeared first on Coin Edition.

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