Coinspeaker
Ripple’s Partner Corpay Introduces Internal Invoicing Tool – Netting Manager
Corpay, a global leader in business payments and partner of Ripple Labs Inc, has launched a new tool designed to make the process of internal invoice settling automated and streamlined. Called Netting Manager, the service targets corporations that have subsidiaries across the globe.
Netting Manager Invoicing Tool
Among the issues that Netting Manager aims to address are lack of transparency due to lack of centralization, payment date uncertainty, and unnecessary FX conversion and transaction costs.
Corpay Vice President of Currency Risk Analytics Jim Kessler said:
“It’s simple, and that’s what is great about it. We developed Netting Manager with the intention that it would be easy to use. Many of the current netting solutions on the market are complex and require extensive onboarding, which results in higher costs and acts as a barrier for smaller companies with fewer resources. Netting Manager’s streamlined, user-friendly design allows multinational companies of all sizes to have the system up and running within days, compared to other existing systems that can take months to onboard.”
How does Netting Manager function? As per the press release, the tool employs the financial technique of intercompany netting to consolidate each subsidiary’s payments into a single local currency transaction. Thus, different entities or branches within the same corporate group can get a balanced list of liabilities and receivables. In such a way, the company can minimize the number of actual payments made, identify foreign exchange exposure, and streamline its cash management processes.
Prior to launching Netting Manager, Corpay partnered with Sunflower Bank to help the bank’s clients manage cross-border payments and currency risk. In addition, Sunflower Bank’s clients got an opportunity to manage their global payments from a single point of access. The initiative worked out on single clients’ accounts, the principle is similar to the newly launched tool for businesses.
What Does It Mean for XRP?
Corpay’s boost of cross-border payments makes many wonder if it will affect the performance of XRP. The concerns have also been fueled by the court’s ruling on the battle between Ripple and the US Securities and Exchange Commission (SEC). The court ruled that the sale of Ripple’s XRP tokens on exchanges and through algorithms did not constitute investment contracts, while the institutional sale of the tokens did violate federal securities laws. Over the past week, the coin has seen a more than 8% drop in price.
As of the press moment, the XRP price is standing at $0.70. The coin’s all-time high was $3.84 on January 4, 2018. Currently, XRP is more than 80% down from there. However, analysts and investors believe the coin will break the $1 mark.
Brad Garlinghouse, Ripple’s CEO, said:
“The road map for Ripple remains the same, with wider adoption and increased positive sentiment of people towards cryptocurrencies in general, the future seems bright for XRP”.
The general rating for XRP is a “buy”, as experts are optimistic about the coin’s future.
Ripple’s Partner Corpay Introduces Internal Invoicing Tool – Netting Manager
