US CFPB Think Ripple and XRP Have Potential To Increase Transparency in Banking Industry

By Kapil Gauhar

Authorities at the United States Consumer Financial Protection Bureau (CFPB) think that Ripple and XRP can possibly expand transparency in the remittance industry.

A CFPB report, which centers around worldwide money transfers under the Electronic Fund Transfer Act, uncovers that the office has been tracking rising advancements in the remittance market, including the development of the digital asset companies like Ripple. It takes not of that XRP ‘can be utilized to impact settlement of those transfers.’

As indicated by the report –

“To the degree banks and credit unions increase their reliance on closed network payment systems for sending remittance transfers and other cross-border money transfers, the Bureau notes that this could result in greater standardization and ease by which sending institutions can know exact covered third-party fees and exchange rates.”

“The Bureau also believes that expanded adoption of SWIFT’s GPI product or Ripple’s suite of products could similarly allow banks and credit unions to know the exact final amount that recipients of remittance transfers will receive before they are sent.”

Stuart Alderoty, general counsel at Ripple, tweeted as below.

Shaped in 2011 after the entry of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the CFPB is entrusted with shielding shoppers from deceptive market practices.

The Bureau got a record-breaking 42,774 objections a month ago in regards to banks and moneylenders, as per a report from The Hill, which is a 15% expansion contrasted with 36,690 complaints in March. The surge in complaints follows COVID-19’s overwhelming effect on the economy.

Kapil Gauhar

Kapil Gauhar is the founder of Blogger’s Gyan. He is a Passionate Blogger, a Big Thinker and a Creative Writer. His passion for doing friendship with words and letting people know about the wonders of the Digital World is what motivates him to take writing as a career.

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