Ripple takes stake in Flutterwave

This partnership between blockchain leader Ripple and payments giant Flutterwave is a major signal for the future of cross-border consumer transactions. Flutterwave is a primary gateway for commerce in Africa, and Ripple’s investment indicates a shift toward using blockchain to settle retail payments faster and cheaper than traditional bank wires. For retailers operating internationally or those with customer bases in emerging markets, this move suggests that 'instant' cross-border financing and payments are becoming a technical reality. Historically, high fees and slow settlement times have made it difficult for merchants to offer seamless financing to international shoppers. By integrating Ripple’s technology, Flutterwave can potentially lower the cost of capital for lenders operating in these regions. This means merchants could eventually see more competitive merchant discount rates (MDR) and faster payouts on financed sales. It also opens the door for new buy-now-pay-later (BNPL) providers to enter the African market with less friction, providing your business with more options for consumer credit at the point of sale.

Source: Finextra — Lending

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