ODL (On-Demand Liquidity) is a service provided by Ripple to enable real-time cross-border fund transfers by utilizing XRP digital coins as the intermediary currency. On-Demand Liquidity (ODL) is a solution developed by Ripple to address liquidity issues in cross-border fund transfers. By using XRP as the intermediary currency, ODL enables instant fund transfers without the need to store funds in any foreign exchange corridor.
The ODL process works as follows:

1. Senders (e.g. banks or financial institutions) convert their local currency into XRP.
2. The XRP is sent over the Ripple network to a recipient in the destination country.
3. The recipient then sells the XRP and converts it to their local currency.

In this way, ODL eliminates the need to have pre-funded liquidity in each foreign exchange corridor, thereby reducing costs and lead times in cross-border fund transfers.