Ripple price pushed up to 71% within 24 hours by the South Korean market as a result of Ripple blockchain-based payment test conducted by major South Korean and Japanese banks.
South Korean firms: Bithumb, Korbit and Coinone, alone account for more than 50% of total trades. The three cryptocurrency exchanges processed over $1.7 billion worth of trades just within 24 hours.
According to Korbit co-founder and CEO Tony Lyu, in the South Korean market, once several people invest in a particular asset, others blindly rush to invest in that asset too. Accordingly, when Ripple’s value surged up to 30 percent in South Korea, investors scrambled in and helped the cryptocurrency incline up 71 percent within the short time span of 24 hours.
Cryptocurrencies in the South Korean market including Ethereum, Ripple, Bitcoin Cash, and Monero see drastic fluctuations in their values due to the movement of investors based on market trends.
Earlier on Wednesday, a Japanese media outlet Nikkei reported that Ripple blockchain-based payment trial and its solution will begin across leading banks in Japan and South Korea on Friday. The purpose of the joint project is to lower the cost involved in international funds transfer by 30 percent.
Since 2017 started, a number of major banks and financial institutes have acquired Ripple’s blockchain-powered payment technology. Japanese banks, in particular, picked the technology quickly, forming a consortium of 61 corporations.
“We commend these banks in Japan for taking a giant step forward on behalf of their customers. This is a great example of a regional banks converging into a global real-time payments network for the greater good,” Marcus Treacher, Ripple’s global head of strategic accounts.
RippleLab, along with its partner banks in South Korea and Japan, aims to implement the blockchain tech at a larger scale by early 2018.
Nikkie reported that Ripple-based systems – that will process global payments – have already been developed by Japan. If the test results are positive, cross-border payments between Japanese and South Korean banks will kick off on 31st January.
As reported in September, SBI Ripple Asia first announced to trial blockchain-based instant international remittance system in South Korea.
“South Korea is one of the most active markets worldwide when it comes to blockchain innovation and trading of digital assets. With trade flows into and out of the country totaling $960 billion every year, we also see a high end growing demand for Ripple’s frictionless payments solution in the country,” said Takashi Okita, SBI Ripple’s Asia chief executive.