Despite the pandemic that shook the global economy, Ripple has an impressive first quarter figures. Speaking at a virtual meeting, Ripple CEO Brand Garlinghouse stated that the company experienced a “strong momentum” in the first quarter. In particular, the RippleNet network, which includes more than 300 financial institutions worldwide, saw an 85 percent increase in transaction volume between the 4th quarter of 2019 and the second quarter of 2020.
Ripple’s Pre-Demand Liquidity (ODL) product grew 190 percent over the same period, allowing cross-border payments to be made without pre-financing.
Garlinghosue foresees the removal of fiat currencies, which reminded of the Weimar Republic, which collectively paid money during the hyperinflation period from 1921 to 1923, and exemplifies people carrying wheelbarrows to buy a loaf of bread at that time.
Although it doesn’t look so gloomy for the US dollar, the CEO doesn’t expect the pandemic-sourced crisis to go away quickly. Ripple has successfully weathered the storm so far, but Garlinghosue said the company would be ‘much more considerate’ about hiring. Ripple is expected to have a team of 575 people by the end of the year (initial estimate of 560 employees).
XRP as a Solution
Speaking of XRP, Garlinghouse claims that because of its high processing speed and low energy consumption, the cryptocurrency is significantly more sustainable for payments compared to Bitcoin and Ethereum:
“We will continue to focus on how we use and use XRP as a truly effective tool for payments.”
The Ripple boss also states that central banks are actively working to integrate digital payments, which they define as a “good trend”. Numerous high-profile banks, such as Santander and PNC, rely on Ripple’s software for payments, while not using XRP yet.