Swift payment system bets on cryptocurrencies
Recent data reveals that the global traditional finance (TradFi) payment system, Swift, is working on incorporating a blockchain-based ledger into its network, thus entering the crypto sector to avoid being left behind
The incorporation of new technologies in finance has led to changes that are evident in digitalized payments, where cryptocurrencies are leading the way. The traditional payment system, Swift, points to a change in this regard by announcing that it is working on a blockchain-based ledger.
This is an important step for this globally used system, working with more than 30 financial institutions “to build a ledger that could enable 24/7 cross-border payments, based on a prototype developed by Consensys, developers of Ethereum.”
Once this change is implemented, Swift’s role in financial communication will extend to the digital environment, making it easier for banks to move regulated tokenized value across digital ecosystems.
Swift indicated in a recent official statement that the ledger is planned to “act as a real-time record of transactions between financial institutions, recording, sequencing, and validating transactions and enforcing its rules through smart contracts.”
The traditional payment system is a messaging platform for international banking transactions, currently used by more than 11,000 financial institutions in over 200 countries.
M.Pino
Source: coindesk
(Reference image source: Traxer on Unsplash)
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