American Express has announced the introduction of blockchain-enabled, cross-border B2B payments. The American Express FX International Payments (FXIP) business is working with Ripple to make blockchain payments commercially available, reducing the time and cost of settlement,
Santander UK is the selected partner to initiate this new transaction channel, which has the potential to expand substantially over time.
With the integration of Ripple into the American Express FXIP platform, non-card payments can be routed through Ripple’s real-time payment network, known as RippleNet. Compared with traditional payment processes, blockchain-enabled payments improve international transactions by simplifying connections with intermediaries and providing immediate end-to-end visibility into the transaction status and cost.
“We’ve already seen evidence that blockchain technology is playing a transformational role in the way customers are served,” says Greg Keeley, Executive Vice President of Global Corporate Payments at American Express. “Not only does this partnership with Ripple help decrease the time it takes for international transactions to be processed, it can make our transactions more effective for our customers.”
“We are committed to creating a leading international payment eco-system meeting the needs of companies and customers worldwide,” continues José Luis Calderón, Global Head of Santander Global Transaction Banking
“This blockchain solution opens up a new channel between the US and the UK and presents significant opportunity for payments globally. Collaborating with forward-thinking businesses has enabled us to deliver this cutting-edge, secure, friction-free payment solution and extend our Simple, Personal, Fair philosophy to American Express and their customers.”
Initially, Ripple will connect American Express’ customers to Santander in the UK, providing instant, trackable, cross-border payments. RippleNet is helping remittances from American Express customers in the US to reach UK bank accounts faster than ever before through Santander. Moreover, Ripple’s payments network has the capability to allow American Express to connect with customers across the globe.