Yesterday, the US Federal Reserve Board announced a new payment system. While the new project has shocked some in the crypto community, the Ripple community seems to be thrilled about the new settlement service.
The Near-Instant FedNow Service
According to an announcement published yesterday, the Federal Reserve Board is developing a new “round-the-clock” real-time payment and settlement service dubbed “FedNow”.
FedNow will feature near-instantaneous transactions that will be processed every day of the week, including weekends, 24/7.
The announcement read in part:
The rapid evolution of technology presents a pivotal opportunity for the Federal Reserve and the payment industry to modernize the nation’s payment system and establish a safe and efficient foundation for the future.
In addition to FedNow, the Federal Reserve Board also announced that it has been exploring expanding its FedWire Funds and National Settlement services to provide 24x7x365 support as well as faster payments.
Ripple Community Is Thrilled
The Fed’s announcement has generated such hype in the Ripple community that the number of FedNow and Ripple-related searches has increased significantly on Google.
Curious to see @Ripple‘s response to Fed Now.
It’s clear (at least some) $XRP holders are feeling the heat – just check Google searches. Not trying to spread FUD, but looking forward to see how this plays out.
— The Crypto Dog📈 (@TheCryptoDog) August 6, 2019
More Good News For Ripple?
While neither the federal government nor Ripple has officially confirmed that FedNow will use Ripple’s network or even blockchain technology, Ripple’s Global Head of Infrastructure Innovation, Dilip Rao, tweeted yesterday that the launch of the FedNow Service was a “great move”.
— Dilip Rao (@diliprao) August 5, 2019
Ripple is already part of the Federal Reserve’s Faster Payments Task Force, with the company’s Head of Research on the Business Development team, Ryan Zagone, elected as a member of its steering committee in 2015.
What’s more, Ripple published a blog post in July 2017 regarding the Fed Task Force action plan for faster payments. According to Ripple, the action plan highlighted “Ripple’s ability to underpin the next generation of cross-border payments.”
The organization has more good news incoming, as the payments company MoneyGram recently revealed that it was piloting Ripple’s xCurrent network and XRP for cross-border transactions.