Enterprise blockchain juggernaut Ripple has rolled out a massive software upgrade that fundamentally changes how large companies handle their corporate finances.
They have developed the first enterprise software that makes it possible for chief financial officers (CFOs) to manage traditional bank accounts and crypto on the exact same screen.
Solving corporate headaches
Currently, holding cryptocurrency or using stablecoins for payroll and global payments turns into an accounting nightmare for major companies.
Traditional cash sits in bank accounts managed by specialized “Treasury Management Systems” (TMS). In the meantime, digital assets sit in separate crypto wallets, exchanges, or third-party custody platforms.
Accountants must manually pull data from these completely disconnected systems in order to determine how much money the company actually has.
They also have to convert the fluctuating crypto prices and try to balance the books. It is a slow process that is prone to human error, and a major reason many companies avoid using it altogether.
In order to solve these corporate headaches, Ripple has launched digital asset accounts that make it possible for companies to manage a regulated crypto account inside the software they already use to manage their cash. They don’t need to go set up separate accounts on external crypto exchanges. The software tracks it and records the real-time fiat value of the crypto holdings of a certain company (whether it is XRP or RLUSD).
In addition, Ripple has introduced a “unified treasury,” which serves as a single dashboard. It uses API connections to instantly sync the company’s traditional bank accounts with its digital asset providers.