Following the revelation that it was in talks with the Trump administration and a WTO report giving it a special mention, the Ripple project is continuing its hot run as the Bill and Melinda Gates foundation, which revealed in October 2017 that it will use the Ripple Network to send funds to underdeveloped parts of the world, is expanding its partnership.
In a separate development, the XRP token is now capable of acting as collateral for up to $2 million via crypto loan service Nexo.
Bill and Melinda Gates Foundation Ramping Up Efforts with Ripple and Coil
The Bill and Melinda Gates Foundation Deputy Director Miller Abel announced on Twitter that the foundation will work with Ripple and ex-Ripple employee-led Coil to send donations to poverty-stricken countries with poor infrastructure,
— Miller Abel (@MillerAbel_) October 17, 2018
The partnership was officially announced in October 2017, when they, along with several other entities, revealed that they would create an interoperable payments platform called Mojaloop. The Mojaloop platform would give financial benefits to the world’s poor and unbanked.
The software solution utilizes the InterLedger Protocol (ILP), a highly customizable blockchain protocol that allows nations, network operators and financial institutions to speedily develop their own payments platforms.
The idea of sending funds to those particularly affected by international fees and deprived of financial services is in the original spirit of Nakamoto’s vision for blockchain-based financial systems — equalizing financial disparity and migrating funds from richer countries to poorer ones.
The capacity to have access to global financial markets with just a smartphone and an internet connection is championed as blockchain technology’s most altruistic benefit. Remittances and cross-border payments, both use cases that Ripple focuses on, are touted to save the world’s economies billions and lift underdeveloped countries out of financial limbo.
While we do not have much in the way of fresh details about the collaboration, it does tell us that the effort is indeed moving forward.
NEXO Becomes First Crypto Lender to Use XRP as Loan Collateral
Nexo, which claims to be the world’s first platform that offers instant crypto-backed loans, announced that it now serves XRP-backed loans of up to $2 million. Users can use XRP tokens stored in their Nexo wallet to instantly avail loans. Rates stand at 8% per year.
XRP-backed loans are now available on the Nexo platform, making us the first and only crypto lender to onboard #XRP as collateral.
Get instant access to cash while keeping the upside potential of your XRP! #HODL #Ripple pic.twitter.com/YmYWSvW5Ov
— Nexo (@NexoFinance) October 17, 2018
As described by some users who received an e-mail about the new offer:
XRP holders now have the ability to instantly borrow against their asset rather than sell it when the need to access to cash arises. This makes HODLing XRP even more straightforward, as it eases selling pressure and provides the most tax-efficient model…
Nexo is a fintech company backed by Credissimo, a European entity that has been in existence for over 10 years.With a strict emphasis on following EU financial regulations, the platform has already granted over $1 billion in crypto-backed loans.
Crypto-backed loans seem to be on the rise, with several companies either utilizing established tokens like XRP or stablecoins to offers loans to users.