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American Express Praises Ripple’s Capability to Process Cross-border Transactions ‘In a Matter of Seconds’

Ripple is a fintech which focus on using blockchain technologies to facilitate financial operations via traditional means appears to be bearing positive results. Not only has XRP established itself as the most important altcoin in the global market cap, but the company and its services continue to receive praise from significant players in the world of finance.

Ripple: A Good Partner for American Express

Speaking at the Wings of Change Europe conference in Madrid a few days ago, Carlos Carriedo, general manager of corporate payments at American Express explained that Ripple has the potential to improve the way payments are traditionally processed around the world.

“Blockchain is absolutely an option we’re looking at. Just to give you a sense, we have invested in a fintech lab based on blockchain technology, just to understand how to leverage this better….
We did a pilot. We did a test, partnering with Santander locally, and with Ripple to just do cross-border transactions. Cross-border transactions continue to be complex and slow. And in a matter of seconds, through this test, our clients were able to transfer funds in a very transparent and seamless way, from one part of the world to the other one.”

A Bright Future Needs Time

In spite of the enthusiasm, Mr. Carriedo was emphatic in mentioning that there are still some aspects that need to be appropriately adressed before it is possible to talk about a massive implementation; however, he is convinced that there is a great potential in Ripple technology.

There is more to come. There’s still a lot of things that need to get addressed with blockchain as a technology. But it’s very promising…
The future is definitely digital. Digital is the way payments will continue to be across both the consumer part of the business the commercial part of the business”.

American Express has formed a serious business relationship with Ripple in an effort to achieve solutions that reduce the friction and inefficiencies inherent in legacy payment systems currently in use. Two of the most important fruits of this alliance were the collaboration with Santander for the installation of a cross-border payment processing network and the approval of a permit to operate in China.

For American Express, the innovation offered by some fintechs such as Ripple is of utmost importance to adapt its business policy to modern times:

“There are companies who can do the emerging technology faster and in a more inexpensive and we need to partner with them.

The post American Express Praises Ripple’s Capability to Process Cross-border Transactions ‘In a Matter of Seconds’ appeared first on Ethereum World News.

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American Express May Be Testing Ripple’s x-Rapid, Says Ripple CTO

In an exclusive interview for the “Gregarious Mammal” Podcast, Stefan Thomas, the current CTO of Ripple, had the opportunity to chat with Chris Ward about his views on the advances in decentralization and payment processing, as well as the philosophy that has led Ripple to become one of the most successful companies in the world of DLTs.

It is no secret to anyone that Ripple is a company that has managed to gain the trust of several key players in the world of finance, and despite having a controversial image in the world of cryptocurrencies, no one doubts the seriousness and solidity that the company projects in the business world.

During the interview, Stefan Thomas confirmed that American Express, one of the leading companies in the financial services industry, has agreed to use Ripple’s platform as a means of processing the vast amount of transactions they handle.

Also, Mr. Thomas confirmed that Western Union is also interested in adopting Ripple’s platform, which is a sign of the strength and credibility of Ripple, as well as the convenience of the services it provides through blockchain technologies.

Approximately at minute 4 of the interview, while speaking about the benefits of the products offered by Ripple, Mr. Thomas confirmed American Express may be already testing Ripple’s platform:

“Some of the companies that have agreed to use xCurrent and xRapid are companies like American Express and Western Union, so there are big companies that are testing this.”

“A Little Bit of Blokchain”

Ripple’s growth within the financial sector has brought big capitals closer to the world of blockchain technologies, but its vision of centralization and support for traditional financial systems has generated some rejection among the most purist in the crypto community.

However, this doesn’t seem to bother Ripple’s team. Mr. Thomas comments:

“Ripple has always been a payments company first, and blockchain has always been in our DNA, but we were never dogmatic about what we acknowledge to apply … there’s a little bit of blockchain in all of our different products.”

He commented that the discussion about the characteristics of XRP ledger does not bother him. He mentioned that according to his opinion, XRP is more decentralized than Bitcoin due to the high centralization of hashing power by four mining pools.

XRP RippleFor Stefan Thomas, much of the criticism comes from users, and people with high investments in Bitcoin and other altcoins who see Ripple as a competitor of different characteristics tend to discredit him. Thomas descries this kind of thinking as “Hey, you’re competing with us, we’re gonna make you sound not so good.”

Ripple’s XRP currently ranks third in the global market cap with $13.107.265.851 and a price per token of $0,332905

Graph: Coinmarketcap

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American Express Thinks Blockchains Could Help Prove Payments

American Express is on the hunt for better ways of proving when transactions occur and a new patent filing suggests the financial services giant may be looking at blockchain as part of a possible solution.

In a patent application released by the U.S. Patent and Trademark Office last week, American Express Travel Related Services describes using a “blockchain-based system” in order to receive “payment confirmation including a transaction amount and a merchant identifier.”

The concept is aimed at adding to what AmEx calls the “limited” number of options for generating quality evidence that payments happen between merchants and their customers “beyond a receipt or ticket.

AmEx’s patent highlights the tech’s role in retaining “transaction data, contract data, proof-of-payment data, identification data, and/or other information as desired,” with the idea being that a blockchain network – possibly a public one – would serve as an extra layer of proof for transactions that take place on AmEx’s network.

As a result, the potential applications of such a system are quite varied, the company contends.

American Express says that data can be used to “unlock a hotel, rental or shared economy property door using the card (e.g., that was used for the payment) to look up proof of payment on a blockchain.” Moreover, “the system may be leveraged to provide ticketless access to venues (e.g., movie theater, sports event, concert, etc.) to a customer,” and so forth.

While the decision on whether this blockchain system will be hosted on a private, public or consortium network is up for grabs, the application does highlight how “public networks may leverage the cumulative computing power of the network to improve security.”

This patent application by American Express is the latest in a series that have been launched as early as October of last year when the same branch of the company filed for a different patent related to customer rewards.

Fast forward to today and the company has indeed begun initial trials with a custom Membership Rewards program for cardholders, leveraging Hyperledger’s blockchain technology, which it partnered with last January.

Payment terminal image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

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American Express Files Patent for Blockchain-Powered Proof-of-Payment System

Financial services giant American Express (Amex) has filed a patent for a blockchain-based proof-of-payment system, according to filing published by the U.S. Patent and Trademark Office (USPTO) Thursday, July 12.

The patent’s applicant is listed as American Express Travel Related Services Co., Inc., Amex’s travel arm. The proposed system would automate proof-of-payments by encrypting payment payload data with a public key on an initial node of the blockchain –– the data in question comprising the merchant’s identifying information and the transaction amount.

According to the patent filing, the encrypted data could then securely be propagated to a second blockchain node. In one proposed embodiment of the system, the data could then be fetched by a connected smart device that would decrypt the payment payload data and match it with a second identifier, the customer.

In this way, the blockchain-secured system could enable smart devices to detect proof-of-payments and initiate actions to service paying customers:

“A payment processing entity (e.g., a credit card network, bank, debit, bitcoin, rewards points, or ACH) provides evidence of a payment in a tamper-proof manner by writing the proof of payment to a blockchain. A smart device connected to the blockchain may detect the proof of payment, and can extract relevant information. The information may be encrypted on the blockchain such that access is restricted to entities having the correct cryptographic keys. “

The patent then outlines various use cases for such a secured system, suggesting hotel reservations, real estate rental, and ticketless access to events and venues. All of the proposed use cases would potentially facilitated by customers’ uniquely identified smart devices that could retrieve and decrypt proof-of-payments stored on the blockchain.

Amex has already indicated its interest in blockchain technology by becoming a member of the Hyperledger Blockchain consortium, a collaborative effort to define and develop standard blockchain technology for use across industries.

In May, Cointelegraph reported on Amex’s announcement that it would be integrating Hyperledger into its Membership Rewards program. The initiative, in partnership with online merchant Boxed, would enable merchants to design customized offers for Amex cardholders in order to incentivize customer engagement.

Back in October 2017, American Express Travel Related Services Co., Inc., filed an earlier patent for a personalized rewards system that would also harness blockchain technology to incentivize its customers.

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AmEx Is Hiring to Help Sell a Yet-to-Be Launched Blockchain Product

The partnership between American Express, Ripple and Santander Bank that began back in November of last year is reaching new heights as the trio continues to advance blockchain solutions to foster secure, high-speed cross-border payments.

In a recent job posting on the American Express careers board, a clear reference was made to the partnership as evidence of the company’s focus on “growth, new products and technology offerings to meet customer needs and build on the American Express brand.”

“In 2018 we are introducing a [blockchain] solution with Ripple and Santander,” the ad said, which appears to have since been edited.

Both American Express and Santander Bank, since the advent of their partnership with Ripple, have been using startup’s technology in increasing ways.

As reported by Smartereum, the Vice President of American Express, Colin O’Flaherty, confirmed last week at Money 20/20 Europe, they would be using Ripple’s xCurrent tool to enable global transactions at higher speeds and greater levels of transparency.

“Ripple offers instantaneous, point-to-point conversations between the sender and receiver of funds. And that provides a real opportunity to alleviate most of the issues our customers are facing,” said Flaherty at the event speaking of the challenges small-to-medium-sized enterprises (SMEs) particularly face when engaging in cross-border payments.

The xCurrent product is already being used by Santander to enable their OnePayFX service which allows customers to complete international transfers either on the same day or the very following.

While xCurrent does not require the use of Ripple tokens (XRP), CEO of Ripple, Brad Garlinghouse is optimistic about the current rate of adoption by the major banks for more Ripple products that do use the token.

Image via Shutterstock. 

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

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American Express (AXP) is Officially Using Ripple’s (XRP) xCurrent

The Money 20/20 event came to a close on the 6th of June in Amsterdam. The event is a global event hosted in different cities to bring together the best minds in fintech, financial systems and now recently, blockchain technology. This event is where Ripple’s CEO, Brad Garlinghouse, was quoted as saying that more and more banks were continually embracing Ripple’s technology.

His words indicated that the number was continually growing and had this to say with respect to the rapid adoption of xRapid by the banks:

By the end of this year, major banks will use xRapid as a liquidity tool. By the end of next year, I would certainly hope that we will see…in the order of magnitude…of dozens. But we also need to continue to grow that ecosystem…grow the liquidity.

A similar momentum is evident in Ripple’s other product, xCurrent. This product is the backbone of Santander’s OnePayFX service that has excited the international money transfer industry in that it is a mobile app that completes international transactions in a matter of seconds. The demonstration a few days back, clearly showed how efficient xCurrent is. This has even led Santander to use Ripple products for 50% of its international transfers.

Is is therefore with this background, that American Express officially announced that it was also using xCurrent to increase the transactions speeds on its payment processing platform. The announcement came during a panel discussion at the same Money 20/20 event that Brad Garlinghouse was attending.

Colin O’Flaherty, American Express’s VP & General Manager of global commercial services UK & Russia, had this to say during the discussion at the event:

Ripple offers instantaneous, point-to-point conversations between the sender and receiver of funds. And that provides a real opportunity to alleviate most of the issues our customers are facing.

xCurrent provides a new blockchain-based infrastructure for global payments by integrating it with the already existing American Express infrastructure. Therefore, the SMEs (Small and Medium Enterprises) that facilitate payments of goods and services to customers on a regular basis, are the core beneficiaries of the efficient services that is as a result of the integration of the two platforms.

This means that American Express transactions are as fast as the OnePayFX app by Santander. American Express aims to expand this new integrated services the same way Santander is planning on rolling out the app across different countries around the globe. This is indeed good news for the Ripple Community.

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American Express Integrates Blockchain To Its Membership Rewards Program

Financial services corporation American Express (AmEx) has announced a blockchain application to its Membership Rewards program in partnership with online merchant Boxed, Associated Press reported May 23.

AmEx announced that it is integrating blockchain technology developed by Hyperledger, an open source blockchain project under the Linux Foundation, to let merchants design customized offers for AmEx cardholders in order to increase customer engagement.

AmEx has started with Boxed, allowing the company to reward its clients for purchasing specific items, but AmEx reportedly expects to make the program available to almost all their merchants in the coming months.

Apart from promoting specific items, implementing the new program will reportedly let AmEx and its merchant clients target campaigns to very specific customers. Merchants will be able to make “product-targeted offers” while maintaining their own inventory systems. Chris Cracchiolo, the head of the Membership Rewards program for AmEx, explained:

“They can create programs based on a time of day, day of the week, by incentivizing a customer to download their app. The number of ways merchants can reward customers with Membership Reward points will be exponentially increased.”

In October last year, American Express Travel Related Services Co., Inc., the travel and merchant unit of AmEx, filed a patent for a personalized customer reward system using blockchain technology. The objective of the system is to offer customer-specific types of rewards that include points, a digital currency, or specific items linked to a product.

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American Express Patent Filing Touts Blockchain for Faster Payments

Global payment giant American Express may be looking into using blockchain to boost the speed of transactions.

In a patent application released by the U.S. Patent and Trademark Office on Thursday, the credit card company’s travel arm – the American Express Travel Related Services Company – describes using the tech to facilitate payments between two parties by using transaction requests as a proxy.

As described, a request for payment would be sent to the blockchain-based system, which would either be approved or rejected based on various factors, including a risk analysis. If the request for payment is approved, the payment would automatically process the transaction, adjusting accounts held by both the payer and the receiver.

In order to access the system, parties conducting a transaction must create digital wallets on the blockchain. As a result, the payments are conducted directly through the blockchain, rather than through a third-party banking institution.

The patent filing references peer-to-peer payments using a blockchain, although it also cites bitcoin’s price volatility and the fact that it is a public ledger as reasons why that network would not be suitable for American Express’s requirements.

Notably, the company further suggests that a blockchain system could improve upon current card payments networks, writing:

“A payment network based on peer-to-peer payments may be used to facilitate most functions of traditional card payment networks and to enable additional services and functionality.”

This is not the first time American Express’ travel and merchant unit has expressed interest in blockchain applications.

A patent application released last October, but initially filed in April, discussed using a blockchain as part of a customer rewards program. As reported at the time, the filing touted the tech’s security characteristics as potential boons for a rewards system.

American Express card image via nikos sotirakos / Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.