Ripple receives payments license in Singapore

The license could help advance Ripple’s plans for a financial transaction platform through crypto

Ripple, a blockchain company, announced on Thursday that it has been given the green light to operate its payments platform in Singapore. This is uplifting news for the cryptocurrency industry globally, especially with the strict regulations in the US.

Ripple has been granted preliminary authorization by the Monetary Authority of Singapore, the central bank of the country, to obtain a significant license for the payments industry. This license will enable Ripple to offer regulated payment tokens and associated services in the digital realm, and promote the cross-border transmission of XRP, a cryptocurrency intimately connected with the firm, among its customer base, consisting of banks and corporate income vendors.

Ripple is renowned for introducing XRP and an interbank messaging platform founded on blockchain – the distributed ledger system serving as a foundation for numerous digital currencies. Ripple’s popular financial solution employs XRP as a bridge for currencies, enabling payers and banks to handle transactions for a diverse spectrum of uses.

RippleNet is an international messaging system based on blockchain technology that enables large-scale transfers of funds between financial institutions and banks. It operates in a manner similar to the SWIFT global interbank messaging system.

Ripple is currently entangled in a legal dispute with the Securities and Exchange Commission over XRP and its classification. The SEC has accused Ripple of unlawfully offering securities, while Ripple refutes the accusations. Its stance is that XRP qualifies as a form of currency, thereby exempting it from being categorized as security and consequently falling under heavy regulation. US lawmakers are expected to meet next month to discuss crypto classifications, which could finally resolve the debate.