Finance News

Story: Ripple Enters Lending Business to Give XRP in Credit to Small and Medium Businesses

By Maheen Hernandez

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Ripple (XRP) Line of Credit

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Ripple knows where the money is and they are entering the lending business.  Ripple Insights reported on how Ripple have launched a Line of Credit that is set to be a beta…

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Now customers will be able to use On-Demand Liquidity (ODL) to source capital on demand to start off with cross-border payments at scale making use of the digital asset XRP. 

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Several small businesses face the trouble of limited access to working capital.  This is a barrier to growth for several companies.

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When the small businesses seek out to making credit arrangements it is not easy for them to fulfill several criteria asked by well-known creditors.

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Ripple’s Line of Credit are solving this issue for their customers.  They provide upfront access to financial capital for businesses from every sector by a simple credit…

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Those making use of ODL on RippleNet will be able to buy XRP from Ripple on credit.  Borrowers are charged a one-time fee on the amount borrowed.

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Thus, RippleNet customers can make the best use of the XRP-based credit arrangement everywhere the ODL is available.

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Sydney Ifergan, the crypto expert tweeted:  “Ripple (XRP) knew that value of XRP investments cannot sleep and they are beginning to lend."

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Of note, the Line of Credit is already piloted by RippleNet customers, who have been specializing in cross-border money transfers.

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Ripple XRP, thus opens up opportunities to make use of the capital that has been freed from pre-funded accounts which can be further invested for the development of their…

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RippleNet are making use of technology to provide for financial solutions for the businesses which were once only provided by multinational banks.

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By leveraging distributed ledger technology (DLT) and XRP, Ripple has made the kind of lending that was not possible before.

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