- Summary:
- FOMO Pay, the Singapore-based payments services provider has partnered with Ripple to leverage its ODL. What informed the decision?
Fomo Pay, a leading Singaporean payments institution, has announced a partnership with Ripple, the business blockchain and crypto solutions provider. In order to strengthen its cross-border treasury flows, FOMO Pay will use Ripple’s crypto-enabled business platform. Cryptocurrency treasury management will leverage On-Demand Liquidity (ODL) in this system.
Why FOMO Pay went for Ripple’s ODL
When it comes to treasury payments, PSPs like FOMO Pay prefer Ripple’s ODL. This is because it makes it easier for them to streamline their own cash flow and cut costs. Treasury management at FOMO Pay had to use of alternative payment methods in EUR and USD prior to Ripple’s ODL becoming available to them.
In this scenario, it could take anywhere from one to two days for cash to reach their destination accounts. However, with FOMO Pay utilizing ODL for treasury payments, the company is able to obtain access to liquidity for EUR and USD 24/7, throughout the entire year. Consequently, it is now possible to settle global transactions on the same day.
As with cross-border payments, traditional treasury payments are burdened by the outdated infrastructure of correspondent banking. FOMO Pay seeks to provide its customers with cost-effective and efficient payment options in a variety of currency options. Opportunities to improve current payment inefficiencies abound in the Asia Pacific area. As a result, the collaboration with Ripple, a company well-known for its efficiency, security, and low transaction costs, makes perfect sense.
In Singapore, FOMO Pay Pte Ltd is one of the country’s leading payment processors. The Monetary Authority of Singapore has granted it a license to offer a number of services. They include Cross-border Money Transfer Service, Domestic Money Transfer Service, Digital Payment Token Service, and a Merchant Acquisition Service. Notably, a growing number of organizations, are beginning to see the advantages of ODL for their operations and their clients’ needs.