Swift, a key piece of global financial architecture, said institutions were collaborating in a “shared digital registration” blocking block chain that consider vital to modernize international bank transactions.
The calendar is yet to be defined, but at first it will focus on allowing cross -border payments in real time 24 hours a day, 7 days a week, which should also reduce the process, which can currently take days.
Swift, based in Belgium, also plans to be based on recent pilot projects to make their “interoperable” systems with the new ones that are emerging for stable currencies, tokenized bank deposits and the digital currencies of central banks (CBDC) that are developing entities such as China and the European Central Bank.
The main Swift advantage is that its network can already be used in more than 200 countries and connects more than 11,000 banks that use it to send billions of dollars every day.
The son of US president Donald Trump and defender of cryptocurrencies, Eric Trump, recently described Swift as “outdated”, but his hope is that by adding the block chain functionality he can evolve and continue providing the compliance and resilience characteristics required by traditional banks.
Stable currencies are quickly going from being a niche of crypto instruments to the dominant current. A CITI report last week estimated that there could be up to 4 billion dollars from Stablecoins in circulation in 2030, with 100 billion dollars of trade that would be made with them a year.
About 90% of the world’s central banks are studying digital versions of their fiduciary currencies so as not to be left behind.
According to Swift, the shared digital record is expected – a safe and real -time log of transactions between banks – “write down, sequenc and validate transactions and apply the rules by intelligent contracts.”
The group of more than 30 world financial institutions that will help design and build the registration includes JPMorgan, HSBC, Deutsche Bank, MUFG, BNP Paribas, Santander and OCBC, as well as several banks of the Middle East and Africa.
