Uruguay’s Central Bank Registered A Ripple Partner For Money Transfers

By Kevin • January 16, 2023 5:18 pm • Comments

More and more financial institutions are jumping onboard to use Ripple for money transfers and for its On-Demand liquidity services.

Among those insitutions is LATAM Software which is considered a money transfer company that is known to be a registered Ripple partner.

It was revealed in a recently released document that this company is actually working with the Central Bank of Uruguay where it has received permission to outsource its services to Ripple.

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This is a major milestone as it indicates that even a central bank of a country has consented to using services provided by Ripple.

Details in the report show that the document had already existed since last year, but was only recently made public on the central bank’s website.

Bitcoinist.com reports:

The detailed role of Ripple is still not fully unclear. However, the document reveals that the Central Bank registered Ripple partner LATAM SOFTWARE S.A.S. as a “money transfer company” and granted it the right to outsource services specifically to Ripple.

As a result of a review by the Superintendence of Financial Services of the BCU, signed by Patricia Fabiana Tudisco Basignani, it states:

That LATAM SOFTWARE S.A.S. has provided all the information required by the regulations in force, for the purposes of the requested registration as a money transfer company.

That, likewise, it has provided the information and documentation required by the regulations in force regarding outsourcing of services, including the updated Operational Continuity Plan, the contracts signed with Mati Technologies, Inc. and Ripple Services, Inc. and the AWS user contract model of Amazon Web Services, Inc.

The document said the Mexican company Mati Technologies meets the requirements for the provider of the technological platform used for the customer registration process (KYC).

Uruguay is also one of those countries that is serious about exploring and potentially implementing a CBDC in the future.

After all, the country made headlines as it was the first country to run a pilot test program for CBDCs back in 2017 so it has a good chance of also being one of the first countries to finally implement it for real.

Ripple also provides the top CBDC platforms in the market and has consulted many government entities on how to implement CBDCs successfully.

It would be no surprise if the government of Uruguay is working with Ripple in this capacity as both of their interests align.

Ripple would be able to prove out a major use case of its platforms for CBDCs and the country of Uruguay could be the first to do a mass CBDC rollout.

Bitcoinist concludes:

According to a November 2022 presentation, the Central Bank of Uruguay “intends to take the lead in creating appropriate conditions for the introduction of new products or technologies that contribute to the innovative development of the national payments system, improve its efficiency and accessibility, and ensure its operational continuity.”

The agenda to be pursued over the next two years includes milestones such as completing the rollout of comprehensive 24/7 clearing systems and promoting the implementation of a fast payment system in line with “international best practices.”

At press time, the XRP price stood at $0.3857, up 0.4% over the past 24 hours.

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