- Ripple, which is a blockchain-powered online money transfer provision service operating in markets around the world, has announced a new investment in the Asia-focused specialist provider Tranglo.
- The move will see the two firms collaborate to provide a better service, and a senior figure at Ripple will join the board of Tranglo later in the year once regulatory approvals have been secured.
- A leader at Tranglo emphasised that the new move will build on the firm’s pre-existing successes in the online money transfer sphere and its offers of cost-effective and secure money transfers.
Blockchain-powered cross-border payments provider Ripple has taken a 40% share in a major specialist online money transfer provider in Asia.
Ripple said that it had secured the stake in Tranglo, which offers cross-border payments technology in the region.
The company will use the new stake to enhance its On-Demand Liquidity offer in the area.
This is a key part of Ripple’s product base, and is anchored around the use of XRP – a digital currency developed by the firm for liquidity enhancement and faster transactions.
For Tranglo’s part, the firm will add On-Demand Liquidity in markets such as the Philippines.
Customers will also be able to make the most of the ‘Line of Credit’ function that Ripple’s services offer.
These products are designed to allow financial services institutions to have more working capital available to them.
Tranglo customers will continue to benefit from cost-effective and safe international money transfers.
However, the new arrangement will not take place until regulators have given the green light.
The deal will also need to satisfy a number of closing conditions, press reports said.
This is due to happen later this year, at which point there will be a new addition to the director committee at Tranglo.
Amir Sarhangi, who is vice president of product and delivery at Ripple, will join.
In a statement, a leader at Tranglo described the new move as a way of helping to bring more “accessible” financial products to a broader range of people.
Jacky Lee, who serves as chief executive officer at Tranglo, added that the move enhanced the firm’s existing offer.
“Tranglo has always prided itself on making cross-border transactions faster, cheaper and more secure,” he said.
“By partnering closely with Ripple and introducing On-Demand Liquidity to new markets, we aim to further that ambition to provide accessible and equitable financial services to the masses.”
For Ripple, the general manager of RippleNet, Asheesh Birla, praised Tranglo for its payments services at the moment.
He also said that the firm was an “ideal partner”.
“Tranglo’s robust payments infrastructure coupled with their unparalleled customer service and quality makes them an ideal partner to support our expansion of On-Demand Liquidity starting with the Southeast Asia region,” he said.