Ripple recently entered China after getting approval from LianLian and American Express joint venture. It is a big breakthrough for Ripple as China is a high priority target market for any cryptocurrency or crypto exchange. American Express will support card payments for the platform in the country.
AmEx breaks through Chinese high priority target market
After this approval, AmEx is now the first company from America to receive direct access to the e-commerce market of the country. Also, the approval gives AmEx the power to conduct payments and transactions in the Yuan, the Chinese currency. Traders can settle the payments through LianLian Group which also is the customer of Ripple.
AmEx is a global payment platform similar to MasterCard with a special interest in the high priority target market of China which is one of the biggest card markets in the world. That is why the company entered into collaboration with LianLian Group and this venture, later on, became the first venture to process payment operations beyond the control of the state, UnionPay network.
Now the joint venture of AmEx and LianLian Group will partner with RippleNet and offer faster and seamless global payment services to the e-commerce market in China. This threesome partnership, Express (Hangzhou) Technology Service Co. will process as well as settle the payments in Chinese currency Yuan Renminbi (CYN).
Venture to complete preparatory operations in a year
The Chinese government wants the Express Service to complete its preparatory operations in a year. American Express, LianLian Group, and AmEx are the members of the RippleNet platform. AmEx joined the platform in 2017 to provide better services to the medium and small enterprises in payment processing. LianLianPay has more than 150 million registered customers and uses RippleNet for settling Chinese e-commerce payments. It also uses the cross-border payments facility offered by xCurrent from Ripple.
Since China has stricter policies and regulations card payment firms from foreign countries face a lot of struggle while operating in the country. The policies force these firms to function with UnionPay. However, AmEx will be the first platform to receive permission for operating without collaborating with the state monopoly consortium.