The “African Blockchain Report 2022” by CV VC and Standard Bank of South Africa reveals that Ripple and XRP are already in use in thirteen African nations. In the report, published in late April 2023 but undetected by the XRP community, an entire page is devoted to the Ripple technology.
According to the report, the opportunities in Africa for digital payment service providers such as Ripple are immense. While the region has made significant strides in recent years, much of its potential remains unused, according to the report. In 2025 alone, revenue from electronic payments is expected to increase 20% to $40 billion.
However, there are still gaps in the continent’s financial infrastructure, leaving innumerable individuals and businesses unbanked. Due to the prevalence of cell phones, cryptography is also the solution.
Yet, less than 10% of all payments in Africa are handled digitally at present. According to the authors of the report, blockchain and crypto-enabled remittances can reduce fees by an average of 6.3%, and in sub-Saharan Africa, by 8.46%.
Already Well-Positioned In Africa, Ripple
The report effectively promotes Ripple and its On-Demand Liquidity (ODL) solution based on XRP. It also reveals a map of the countries where the company is already active, including Benin, Burkina Faso, Cote d’Ivoire, Egypt, Ghana, Kenya, Mali, Niger, Nigeria, Senegal, South Africa, Togo, and Uganda.
Both financial institutions and individuals will benefit from Ripple’s modernization of the African payments system, according to the authors.
On-Demand Liquidity from Ripple lets companies settle worldwide payments in real time at a fraction of the cost without locking up operating cash in destination accounts. Using XRP as a bridge currency, money may be transmitted and received in local currency.
According to the report, multinational financial institutions can also benefit from Ripple’s expanding global network. They can reduce expenses by eliminating up-front funding and obtaining access to global payout channels.
Ripple is working with local financial institutions and fintechs to deliver improved cross-border remittances to the area, including regional payment interoperability and smooth money movement throughout the continent.
The partnership between Ripple and MFS Africa, which was disclosed in the first quarter of 2023, is also highlighted. According to the report, the South African provider is utilizing ODL to develop blockchain-based payment infrastructure for ISO20022-compliant payment services.
XRP Price Must Maintain Crucial Support
At the time of publication, the price of XRP was $0.4259. The price must maintain support at $0.41 to avoid sliding back into the range spanning November 2022 to mid-March 2023. On the upside, $0.44 is the most significant resistance, and the 200-day exponential moving average (EMA) at $0.4354 may also provide stronger headwinds.