Santander launches blockchain-based money service for international transfers
Spanish banking giant Santander has recently launched a new service, based on blockchain technology, that allows customers to complete international transfers on the same day or by the next day. Additionally, the service lets customers see the exact amount one will receive in that countries currency before they make the transfer.
In launching the service, Santander becomes the first bank to use the technology for a service that allows international payments to retail customers in multiple countries simultaneously. The service, dubbed Santander One Pay FX, is available to customers in Spain, Brazil, U.K., and Poland, but the bank expects to roll it out to more countries in the coming months.
“Our goal is to help the thousands of people who use international payments services every day, and we will be adding more currencies and destinations in the coming months,” Anna Botín, Executive Chairman of Banco Santander said.
“Blockchain technology offers tremendous opportunities to improve the services we offer our customers, and the launch of Santander One Pay FX is the first of many potential applications.”
Santander One Pay FX uses xCurrent, which is based on Ripple technology. Santander’s has a history with Ripple as its $200 million fintech venture capitalist fund, InnoVentures, invested in it in 2015.
Santander had previously voiced its plan to launch the program with Nathan Bostock, Santander UK CEO, joking that the banking giant would be the first bank to do a service of this kind, “if no one beats us to it.”
Further proof that this service was on its way was then Botín mentioned the potential launch of the program in the company’s 2017 earnings presentation.
Additionally, Santander had previously tested an international payment app to test Ripple’s technology in regards to its speed in making transfers available in less than a day.
With Santander becoming the first bank to use blockchain technology for international transfers, it won’t be long before other banking and financial institutions jump on board and set up a similar service.