Ripple Teams Up with Onafriq to Facilitate Cross-Border Payments in Africa
Summary:
Ripple partners with African mobile payments provider Onafriq to create new payment corridors between 27 African countries and Australia, the UK, and the Gulf Cooperation Council. Onafriq will leverage Ripple's blockchain technology in collaboration with Zazi Transfer, PayAngel, and Pyypl for the different regions. The move highlights the increasing use of digital assets in Nigeria, Kenya, and South Africa and comes after Onafriq's acquisition of Global Technology Partners, and an agreement with Western Union for cross-border transactions.
Under a new agreement with Onafriq, an African mobile payments provider, the financial firm Ripple will establish new money transfer routes between 27 nations in Africa and Australia, the United Kingdom, and the Gulf Cooperation Council (GCC). To facilitate these transactions, Onafriq will integrate Ripple's blockchain technology in partnership with three affiliate firms. These are Zazi Transfer, which will cater to Australia; PayAngel, which will service the UK; and Pyypl, which will accommodate the GCC member countries including Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.
Remittance plays a significant role in cross-border payments directed to Africa. Ripple's Senior Vice President of Global Customer Success, Aaron Sears, highlighted the progress of cryptocurrency adoption within Sub-Saharan Africa, stating that countries like Nigeria, Kenya, and South Africa have used digital assets for routine, real-world transactions. He also indicated that Pyypl is notably a current Ripple associate in its on-demand liquidity (ODL) solution, with Onafriq reportedly integrating the same.
Previously named MFS Africa until an early November name change, Onafriq adapted its identity after acquiring U.S. mobile payment software developer Global Technology Partners in June 2022 to avoid sharing a trademarked name in the United States. Notably, earlier this year, Onafriq also orchestrated a notable agreement with Western Union pertaining to cross-border transactions.
It's pertinent to note the Ripple Payments platform was previously known as RippleNet before recent updates, announced at Ripple's Swell customer event in Dubai on November 8. However, the firm has courted both acclaim and criticism in the industry, as evident from divergent opinions offered by various experts in the field.
Published At
11/8/2023 4:00:00 AM
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