Ripple looks to drive bank adoption with $300m XRP rebate programme
13 October 2017 | 33129 views | 0
Ripple is hoping to tempt banks to jump onto its enterprise blockchain network by dangling a rebate, in the form of its XRP digital asset, to early commercial adopters.
The firm has dipped into its XRP holdings to the tune of $300 million for the new RippleNet Accelerator Program, which consists of a volume rebate and an adoption marketing incentive.
RippleNet members will get license and interface-fee rebates if they hit integration and volume milestones by certain deadlines.
Ripple claims that these rebates - available in XRP or USD - can cover anywhere between 50% to 300% of the integration fees and first year’s license fees.
Meanwhile, the adoption marketing incentive will match eligible customers' marketing spend when they promote Ripple-powered products and services to their customers.
Ripple's VP of marketing, Monica Long, says the company is taking a page from PayPal and others in a bid to create network effects on its platform, which now claims more than 100 members.
Adds Long: "Since we’re offering the incentives in XRP, we anticipate seeing an added benefit of building an easy on-ramp for institutions to use XRP in their payment flows to lower liquidity cost in the future. Early reception of these XRP incentives in a test phase has been very positive."