Vietnam’s Tien Phong Commercial Bank (TPBank) takes another step forward in its digitization plans by partnering with RippleNet. The company will be using the platform’s blockchain-powered cross border payments system to improve its remittance payments.
According to TPBank’s latest announcement, its collaboration with RippleNet will let clients conduct a money transfer from Japan to their bank account in a matter of minutes. Remittance transfers typically would take several hours.
The banking giant added that international transactions will become almost instantaneous, it’s also transparent, and secure. The company explained that RippleNet updates the status and information of every transaction to all parties immediately. It ensures that money orders are executed quickly and at a low cost.
TPBank also gave assurances that the system is legally compliant with the policies surrounding foreign exchange and prevents money laundering.
Considered as one of the top 10 financial institutions in Vietnam, it’s the first bank in the country to implement blockchain technology for its overseas remittances. TPBank also plans to launch their instant remittance service in South Korea in the near future. It’s why the bank joined RippleNet.
Ripple Labs, the company behind the RippleNet platform, has been steadily advocating blockchain technology in Asia through its partner, the Japan-based financial firm SBI.
Nguyen Hung, TPBank’s CEO, confirmed in a previous interview that they are working with the financial giant to integrate blockchain into its international transactions.
He said the technology’s decentralized features, transparency, and flexibility has the potential to enhance transaction networks. It can also facilitate instantaneous business undertakings regardless of the geographical distance.
Blockchain company Ripple Labs has been relentless in its endeavor to expand globally. The company’s investment arm Xpring recently acquired Interledger (ILP) startup Strata Labs. It also brought in Equilibrium Connect to the fold last August.