CIMB banking group, one of the biggest banking groups in Malaysia, has joined Ripple on-line payment. Ripple is cryptocurrency which transfers virtual currencies among users through Blockchain technology with very high security.
Ripple central money transfer system is known under the name of “RippleNet.” Malaysian CIMB bank, too, uses this central system to transfer money among its branches and has connected to it. CIMB bank branches will apply this central system across ASEAN to transfer money among branches from now on. This kind of cooperation via Ripple can dramatically decrease the charges incurred by inter-bank money transfer.
Malaysian CIMB bank employs a specialized money transfer system called “SpeedSend” for banking transfers. It is applied as an accelerator for international payments in countries such as Australia, the United States, Britain, and Hong Kong. RippleNet is, in the same manner, used to develop and expand SpeedSend system on the part of CIMB bank.
Ripple works with various techniques to transfer money and make online payments. One of them is the XRP cryptography system. This system lets users make their online payments in less than a second; however, it seems that CIMB bank merely intends to develop the RippleNet structure to develop and increase its service quality.
According to the predictions made by the World Bank, the transfer volume will reach 120 billion dollars until the end of 2018 in the ASEAN region. The other is that the degree of financial transfer will be 642 billion dollars in the same period, and ASEAN countries have owned one of the highest volumes of financial transfers.