Big Banks Announces “XRP killer” CryptoCoin FOr Payment Settlements
According to Nikkei Asian Review, some of the large Banking corporation from Japan Like MUFG and Sumitomo have together led their way to in the U.S and Europe so as to establish Fnality International.
The Fnality International is based in London and is designed to create a cross border settlement framework (Dubbed as “XRP Killer”) amongst the participating Banks that will utilize a Fiat-Pegged Cryptocurrency.
Till date, the startup has raised about $63 million via funding from these banks and will create accounts on each other’s platform before they issue Utility settlement Coins(USCs).
The USCs will have a 1 on 1 ratio as an underlying Fiat Currency. Thus enabling the transfer of originating Currency to Japan and hence terminating the U.S and further, the Japanese Bank will deposit the transaction amount in Yen to Japan’s Central Bank.
Observing this movement of the firm according to Wall Street Journal (WSJ) said that this upcoming system will have a drastic change on the current international payments system as it will eventually decrease the cost by the elimination of third-party intermediaries even though it seems Fnality sits “in the middle” of the transaction flow process.
While in a talk with the WSJ, the Investment strategy Chief as UBS Hyder Jaffrey said,
You remove settlement risk, the counterparty risk, the market risk. All of those risks add up to costs and inefficiencies in the marketplace.
UBS is an exploring firm that was interested in both Exploring and possibility of creating USC’s back since 2015. And as for now, the firm is set for its initial release and beginning of operation somewhere between the year 2020.
With the upcoming further developments and increasing popularity, there are assumptions that this upcoming firm will take over XRP’s popularity.
There are even major concerns cause USC also looks a lot like JPM coin, the “big announcement” from JPMorgan at the start of the year but with a broader focus than just internal settlements.
And as per the index scale released by CoinMarketCap, the Ultimate Secure Cash (USC) is placed at 1,680th-ranked in Cryptocurrency ranking list.
