Over its few years of existence in the market, Ripple has quickly grown into one of the most progressive blockchain-focused entities in the world. The company has become very popular in crypto circles by virtue of its immense support for its own native token, the XRP.
Ripple has dedicated a sizable chunk of its capital in propping up XRP in the international markets, primarily targeting financial institutions that may want to use XRP to fast-track their cross-border payments in conjunction with other of Ripple’s innovative payment solutions.
However, it now seems like the company has fallen short of realizing its target in terms of overall usage of XRP. Ripple’s CEO, Brad Garlinghouse confessed this in a recent interview with the Financial Times. However, the company still has a few tricks up its sleeve.
The Amazon Of Payments
Apparently, the company is planning to gradually change track to create a more efficient business model. According to Brad, Ripple will be turning into a commercial platform of sorts to support. He gave the example of the latter days of Amazon, saying that Ripple will eventually be like Amazon in its early days, but with a focus on payment systems.
He said, “Amazon started as a bookseller and just sold books. We happen to have started with payments. Two years from now, you’re going to find that Ripple is to payments as Amazon was to books.”
Original Blue-Print Not Working
Initially, Ripple’s model involved a major focus on cross-border payment systems running on a blockchain network. However, the system’s adoption by banks and other financial institutions hasn’t been as impressive and quick as was expected. In fact, many of the institutions using Ripple’s payment systems had to be wooed with incentives.
This has prompted the company to get back to the drawing board to find a more efficient strategy to achieve its goals. Instead of giving out monetary support, the company, through its various links like Xpring, will now be extending technical support, like helping with real code, as opposed to financial support. Xpring’s SVP, Ethan Beard, confirmed this new strategy.
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