A recent tweet from Ripple CEO Chris Larsen has suggested that Ripple could join forces with financial technology innovation company R3CEV that is leading a blockchain consortium of over 40 global financial institutions.

Ripple is a venture-backed startup with offices in San Francisco, New York and Sydney. It provides global financial settlement solutions to enable the world to exchange value like it already exchanges information – giving rise to an Internet of Value (IoV). Ripple solutions lower the total cost of settlement by enabling banks to transact directly, without correspondent banks, and with real-time certainty of settlement.

R3 blockchain consortium has been frequently in news for its blockchain-based experiments. In January, it announced successful completion of the first blockchain experiment with 11 consortium member banks, followed by the successful trial of five distinct blockchain technologies in parallel in the first test of its kind. In April, R3 introduced Corda – a distributed ledger platform designed from the ground up to record, manage and synchronise financial agreements between regulated financial institutions.

Bank Innovation speculates that Ripple may work within Corda as a settlement option available to banks. On the other hand, Corda might offer a solution to the security loophole that R3 pointed out in its technical review of the Ripple Protocol Consensus in July 2015.

“The risks of a consensus split, whether intentional or not, are not unique to Ripple. With proper monitoring in place, the potential negative impact for most scenarios is relatively low. Users’ risk tolerance and unique requirements would determine the mitigation strategy. However, the highly centralized model that the Ripple Network encourages fails to eliminate any need for a trusted third party, but rather creates a new type of trusted third party. This is especially risky, as there is potential for incentive misalignment between institutions and Ripple Labs”, the review noted.

By restricting verification access to parties directly involved in a transaction, Corda makes said transaction far more secure than a typical blockchain. Business Insider noted that Ripple would benefit from the partnership as it could expand Ripple's exposure to more banks while simultaneously increasing security.