BBVA, a behemoth in Spanish banking world reported to have successfully tested Ripple's DLT to make real money transfers. The tests concerned cross-border transactions within the territories of Europe and South America. These areas were carefully selected as BBVA has the most presence exactly in those countries. BBVA officials have claimed money transfer was without any particular issues and the operation completed rapid fast.
Mainly, BBVA is interested in innovation in cross-border payments, especially given its footprint in Europe, Mexico, USA and Latam. BBVA is an active participant in several initiatives in cross-border payments (and other areas where blockchain could be applicable) and in that context, did a project with Ripple in 2017 in order to glean learnings on the efficacy of cross-border payments in various contexts using money, not cryptocurrency. It also has carried a series of tests with blockchain consortia R3, Hyperledger and Ethereum Entreprise Alliance in order to get insights into the use of blockchain in the financial services sector.
The news was warmly welcomed by South American nations as the platform poses potential long-awaited renovation of the local financial infrastructure. The dramatic condition of the current infrastructure of the region yields up to a 3-4 day delay of bank transfers.
We think something really big is happening in this sector, and we want to be at the forefront. A successful string of moves can possibly catapult BBVA into the public eye within the US financial services sector.
CEO, BBVA Compass
Ripple has recently gained a significant backup of the respected financial institutions like MoneyGram, Western Union, Fleetcor and now - BBVA.