(BlockBar) Siam Commercial Bank made news after it previously hinted at the use of XRP token. Siam Commercial Bank is one of Thailand’s oldest banks. The news came across via a tweet from their official Twitter handle. To be noted, this tweet was deleted a few hours later and later the bank issued another statement which said that SCB will not be using XRP, as of now.
The tweet read “We are so sorry for the previous information of the previous post. As of now we have no plans on using XRP.” There was a lot of confusion regarding the news, after the bank was questioned by the users whether they were using XRP for cross-border payments. To answer this the bank had always replied vaguely. It said that the users would be informed, if and when, the bank planned to use XRP. The vague-worded statement was again followed up by tweet which confirmed the use of XRP.
It is worth paying attention that Siam Commercial Bank is known to have ties with Ripple. They have tied since they also conducted a pilot test on the use-case of XRP in cross-border payments. Ripple has already made massive progress when it comes to cross-border payments and partnerships with banks and financial institutions around the world, apart from just the bank.
To be noted, Ripple has partnered with over 300 institutions, one of the institutions is Japan’s SBI Holdings. SBI Holdings has shown massive interest in cryptocurrencies and blockchain technology to improve the payments system in Japan. After Siam Commercial Bank’s initial announcement, the price of XRP rose by approximately 9% over a few hours. The rise in the price could also be attributed to the rumor surrounding Ripple and Money Gram.
But this is for sure that the confusion regarding the use of XRP for cross-border payments has mainly arisen due to the lack of regulatory clarity around the same. This has caused a lot of institutions to shy away from using cryptocurrencies for cross-border payments. A Twitter user (identity to be kept hidden) commented, “I think somebody in their social media team is in trouble for spilling the beans early, and that this is a retraction.”
John Danie is a highly experienced marketing strategist and businessman in the blockchain industry who likes the pace of the development of cryptocurrency, especially in blockchain technology where it can move so fast. Being a fintech writer and crypto reporter with a fascination for tech and a passion for starting interesting conversations, he seeks to create authentic news stories in the industry.