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Amazon and WU...any signals of Ripple?

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https://www-pymnts-com.cdn.ampproject.org/v/s/www.pymnts.com/amazon/2018/western-union-cross-border-payments-partnership/amp/?amp_js_v=a2&amp_gsa=1&usqp=mq331AQCCAE%3D#referrer=https%3A%2F%2Fwww.google.com&amp_tf=From%20%251%24s&ampshare=https%3A%2F%2Fwww.pymnts.com%2Famazon%2F2018%2Fwestern-union-cross-border-payments-partnership%2F

 

Saw this article the other day.  Thought it was interesting seeing how WU is testing Ripple products...

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The link is : https://www.pymnts.com/amazon/2018/western-union-cross-border-payments-partnership/

 

The thing is that you must pay for the Amazon products at a WU branch in person. The article states that the reason for this was that there were customers that are not comfortable with paying online. WU said back in June? That they were not happy with xRapid (After only 10 transactions .....) - I have not seen any other news to say they will be using it.

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1 minute ago, BrownBear said:

The link is : https://www.pymnts.com/amazon/2018/western-union-cross-border-payments-partnership/

 

The thing is that you must pay for the Amazon products at a WU branch in person. The article states that the reason for this was that there were customers that are not comfortable with paying online. WU said back in June? That they were not happy with xRapid (After only 10 transactions .....) - I have not seen any other news to say they will be using it.

Why weren’t they happy with xrapid?

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I thought the last news was that the WU CEO wasn't impressed with Ripple and wanted to stick with their existing tech. This may not have anything to do with Ripple at all.

Ersek had his mind made up before the trial was complete. Ten transactions were tested over three weeks. He was unwilling to consider doing away with their existing infrastructure and wholly embracing Ripple's way if the trial was a success. Ersek considers WU's tech to be blockchain already anyway. Why, I don't know since I'm not a techy, but that's what he said. It sounds ludicrous though. 

We had a couple of threads where a lot of us think he signed WU's death warrant. 

Edited by Deeznutz

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A part of me thinks  that WU CEO was downplaying XRapid as a negotiating tool. I’m sure implementing Ripple products isn’t cheap to start. WU is a dinosaur and I’m sure they are stuck in there ways just like the rest of the financial system today. Sooner or later they will have to give in and bite the bullet or they will end up like blockbuster. I’m sure there were some serious discussions between Ripple and WU after his little comments. 

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My understanding of the WU situation was that over the years, they managed to build their own massive global infrastructure that ultimately bypassed the need for correspondent banks. This allowed them to move money within their system with relative ease as compared to what other banks and FI's were up against. In this light, it made sense to me that they assert that switching over to Ripple/xrp wouldn't amount to enough savings to warrant a change. It wasn't that Ripple/xrp didn't work as advertised, just that their own system works well enough - for now anyways. 

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1 hour ago, invest2lose said:

because it's going to make them obsolete.

Someone still has to provide/float the liquidity.

But if WU is going to try and fight the gravity of the situation and given enough time, they will end up on the ground.

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16 minutes ago, WuWei said:

My understanding of the WU situation was that over the years, they managed to build their own massive global infrastructure that ultimately bypassed the need for correspondent banks. This allowed them to move money within their system with relative ease as compared to what other banks and FI's were up against. In this light, it made sense to me that they assert that switching over to Ripple/xrp wouldn't amount to enough savings to warrant a change. It wasn't that Ripple/xrp didn't work as advertised, just that their own system works well enough - for now anyways. 

They are running a centralized RippleNet, where they are the only Connector/Market Maker earning spreads from value flowing through the network.

edit: xRapid probably found tighter spreads. Remember Ripple Inc has a lot of XRP which can be deployed to make sure xRapid always finds the tightest spreads. We have no confirmation they are doing so, or how.. but they have said they are willing to "subsidize Market Making operations", which WU would qualify as, but maybe WU likes their current fatter spreads.

Edited by KarmaCoverage

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25 minutes ago, KarmaCoverage said:

WU likes their current fatter spreads.

...and they make a fortune off of it. It's too bad the underbanked are knowingly willing to pay these fees because they have more trust in these services than in the traditional banking system.

https://www.thesimpledollar.com/a-deeper-look-at-check-cashing-services-do-they-really-provide-an-alternative-banking-opportunity/

 

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39 minutes ago, EasterBunny said:

...and they make a fortune off of it. It's too bad the underbanked are knowingly willing to pay these fees because they have more trust in these services than in the traditional banking system.

https://www.thesimpledollar.com/a-deeper-look-at-check-cashing-services-do-they-really-provide-an-alternative-banking-opportunity/

I dont think/hope WU is as bad as some of the check cashing services, those guys are super financial predators. At least WU can change the physical location of your value, that has utility. 

I have spoken in some detail with another member of this forum about using the KarmaCoverage methods to provide an alternative to predatory check cashing lenders. I think its doable. The "Coverage" just becomes a negative interest loan, and the loss to the lender is tax deductible as a charitable contribution.

I screwed up in my last business with an equipment lease from Pawnee Leasing, I calculated the lease IRR at 7%. Their pitch was "its a lease not a loan, so no interest rate" which is technically legally correct, but given a cashflow string most can calculate the interest rate easily with excel. At the end of the day, I overlooked that I calculated a monthly IRR (7% was under the hurdle rate), and needed to be multiplied by 12. I ran a full IRR on every payment from the bank account to the Pawnee Leasing and their 3 business accounts they collect with after the contract ran out. It came to just under 80% annual rate of interest, and it's legal. 

So, if my financial works can be deployed to put these abusive financier folks under financial pressure and bankruptcy... you can count me in, I need no compensation.

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5 minutes ago, KarmaCoverage said:

I dont think/hope WU is as bad as some of the check cashing services, those guys are super financial predators. At least WU can change the physical location of your value, that has utility. 

I have spoken in some detail with another member of this forum about using the KarmaCoverage methods to provide an alternative to predatory check cashing lenders. I think its doable. The "Coverage" just becomes a negative interest loan, and the loss to the lender is tax deductible as a charitable contribution.

I screwed up in my last business with an equipment lease from Pawnee Leasing, I calculated the lease IRR at 7%. Their pitch was "its a lease not a loan, so no interest rate" which is technically legally correct, but given a cashflow string most can calculate the interest rate easily with excel. At the end of the day, I overlooked that I calculated a monthly IRR (7% was under the hurdle rate), and needed to be multiplied by 12. I ran a full IRR on every payment from the bank account to the Pawnee Leasing and their 3 business accounts they collect with after the contract ran out. It came to just under 80% annual rate of interest, and it's legal. 

So, if my financial works can be deployed to put these abusive financier folks under financial pressure and bankruptcy... you can count me in, I need no compensation.

We got an SJW here.

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Just now, Zerp_Legend said:

Why do people even want a wu partnership ? It’s one of the worst companies out there and ripple partners like mercury or cuallix will make them obsolete 

**** wu , **** the king and **** the queen 

WU is still a major brand, like it or not.

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