XRP is unnecessary in Ripple’s ODL solution

Ripple’s chief technical officer, David Schwartz, explained that fiat to fiat ODL transactions can work without the XRP infrastructure.

In a new Twitter post, David Schwartz said Ripple’s on-demand liquidity (ODL) solution, which provides instant cross-border transactions, could work without relying on the XRP infrastructure at all.

The director claims that XRP offers a stable flow of customers.

Ripple aims to solve one of the major problems of the banking system by eliminating the need for pre-financing. 

The product, formerly known as xRapid, acts as a bridge between different fiat currencies, saving a lot of time, with the Ripple coin being used as a source of liquidity.

When asked if ODL could operate without buying or selling XRP, Schwartz said it could work.

For example, the sender may already have XRP or the recipient may be willing to accept XRP.

Many of Ripple’s partners rely on these ODL money transfer corridors. The company has such corridors in Australia, the Philippines and Mexico, all of which enjoy high volumes.