Rivals Ripple and R3 partner up

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Burying the blockchain hatchet
Ripple and R3 may be bitter rivals in business and in the courts, but they are working with each other on a universal settler application to streamline global payments on the Corda blockchain.

R3 announced the application will support cryptocurrency transactions within enterprise blockchains, with Ripple’s XRP will being the first recognized cryptocurrency that R3’s settler will support. The app verifies the receipt of the payment and updates the Corda ledger.

Ripple has built a market by using its blockchain to remove costs and time from international payments, initially as an alternative to banks, though it has more recently picked up support from traditional financial institutions.

Brad Garlinghouse, chief executive officer of Ripple Labs Inc.

Bloomberg News

Up to date
The teen debit card Current is upgrading to accommodate young people who are becoming part of the gig economy.

The startup is adding routing and account numbers that will support direct deposit for summer and after-school jobs, reports TechCrunch.

Current is designing the feature to have more flexibility than a recurring payment from a traditional bank because more teens are earning money “on their own” instead of in traditional jobs, according to TechCrunch, which reports more young people are working part-time via apps and technology companies.

KYC shield
A blockchain supported know-your-customer system has successfully cut time and resources from money laundering protection during a pilot, according to the ABU Dhabi Global Market, which operates a financial free zone in the United Arab Emirates.

The app is designed to provide a location to perform identity checks and verification, rather than have those checks performed multiple times.

This can support GDPR compliance, as well as cross-party data management.

C suite scam
Businesses globally have lost more than $12 billion over the past five years from a payment fraud scheme that tricks corporate executives into sending company funds to hackers in Nigeria.

CNN reports the group, called London Blue, poses as an internal executive, such as the CEO, who requests another executive, usually the CFO, to transfer funds to an external account.

The group’s list has about 50,000 executives, mostly at financial services companies in the U.S., according to CNN.

From the Web

Britain orders in-depth review of PayPal-iZettle deal
Reuters | Wed December 5, 2018 – Britain’s competition watchdog on Wednesday ordered an in-depth investigation of PayPal Holdings Inc’s $2.2 billion (1.73 billion pounds) takeover of Swedish financial technology startup iZettle, saying the U.S. group had not done enough to address its concerns.

Alibaba to open first e-commerce trade hub in Europe
CNBC | Wed December 5, 2018 – Alibaba struck a partnership with the Belgian government on Wednesday to create a trade hub that aims to help companies in the country to sell products abroad. Belgium is the first European country to sign up to the Electronic World Trade Platform (eWTP), an initiative first proposed by Alibaba co-founder Jack Ma in 2016.

Internet giants such as Alipay, Amazon pose existential threat to banks, says Bank for International Settlements chief
South China Morning Post | Wed December 5, 2018 – Internet and “big data” giants like Amazon.com and China’s Alipay pose an existential threat to traditional banks, the head of the Bank for International Settlements, Agustín Carstens, said on Tuesday. Carstens, who took charge of the central bank umbrella group a year ago, said the huge amounts of data that big internet companies gather on their customers meant they potentially have advantages over established banks.

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John Adams

John Adams

John Adams is Executive Editor of PaymentsSource.

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