Ripple cooperates in South Korea with BDACS for XRP, RLUSD, and more
Ripple continues to expand its presence in Asia and is now partnering with South Korean trading venue BDACS. BDACS will support various Ripple services and the cryptocurrency XRP.
Ripple had good news last week when the US Securities and Exchange Commission (SEC) refrained from appealing the partial victory Ripple had won in the lawsuit over XRP. Ripple is now seizing the momentum and is expanding its presence in Asia. In South Korea, Ripple has entered into a deal with Blockchain-Based Digital Asset Circulation Service (BDACS), which will integrate technologies and digital assets from Ripple.
According to a press release, BDACS is a new exchange in South Korea that will start operations using RippleNet and the associated On-Demand Liquidity (ODL) in early 2024. Initially, five trading pairs are planned for BDACS, including those for the Ripple-linked digital assets XRP and RLUSD. RLUSD is the ticker symbol for Ripple Liquidity USD, a token that reflects liquidity guaranteed by Ripple itself. XRP naturally also plays a prominent role in BDACS. Other digital assets will be added step by step.
In its statement, Ripple points out that BDACS will primarily focus on Korean Won (KRW) trading pairs. Ripple will support the reliability of trading on BDACS by ensuring that liquidity is always available through RLUSD. In turn, the partnership provides a basis for expanding Ripple’s On-Demand Liquidity (ODL) in Asia.
Background on Ripple’s New Partnership in South Korea
BDACS sees itself as the regulator of digital markets, stating that it has chosen to collaborate with Ripple and only welcome innovative projects to its platform. It is believed that cryptocurrencies and blockchain technologies can bring about the next industrial revolution, a field in which South Korea wants to take a leading position. For this reason, South Korea is focusing on building digital ecosystems, where BDACS will play an important role.
For Ripple, the cooperation comes at a convenient time: momentum from the legal success against the SEC is still there, and the potential of Asian markets is vast. In Asia, cryptocurrencies have less often been a regulatory issue than in the US or Europe. Additionally, Ripple already gained partners in the region earlier this year.
Whether the Asian path leads toward the original goal of positioning XRP as an international bridge currency remains uncertain despite good news. But Ripple hopes cooperation such as the one with BDACS will increase the chances of this happening because ODL will automatically encounter interested parties when liquidity with acceptable fees is offered.
Conclusion: Ripple’s BDACS Deal as an Extension of Its Asia Strategy
BDACS is unknown outside South Korea but will ensure that XRP is visible at the new exchange in the country. Ripple gets a chance to test parts of its ecosystem in a relatively open environment, making South Korea a potential role model for other Asian economies.
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