As a bridge currency: How does it work?
Imagine a company in Yemen wanting to send money to a supplier in Japan. Traditionally, this process might involve multiple banks and SWIFT, making it slow and expensive. This is where $XRP comes in as a "bridge currency":
* Converting local currency to $XRP : The Yemeni company converts Yemeni rials to XRP.
* Sending XRP via the XRP Ledger: XRP is sent very quickly (within seconds) across the decentralized XRP Ledger network to Japan.
* Converting XRP to local currency: The Japanese supplier converts $XRP received into Japanese yen.
This process is much faster and less costly than traditional methods, especially for large amounts.
XRP1.6724-4.18%