- $150 trillion payments network SWIFT teams up with Consensys.
- This move links several powerful blockchain projects.
- Together, they aim to improve cross-border payments.
The $150 trillion payments network SWIFT teams up with Consensys linking several powerful blockchain projects together in a venture to remain prominent in a rapidly evolving industry. Many analysts believe SWIFT would become obsolete when Ripple and XRP take over as Ripple has already partnered with almost every major banking titan in the world. SWIFT has boldly made a move to evolve with the changing tides.
$150 Trillion Payments Network SWIFT Teams Up With Consensys
When Bitcoin first made its debut, it arrived with the intention of replacing traditional banking with a decentralized platform which could move large amounts of monetary funds. These transactions would offer transparency and privacy as every transaction would be recorded on an immutable decentralized digital ledger, ensuring that the events of the 2008 recession will never occur again.
Inspired by Bitcoin’s philosophy, several other blockchain platforms came to be, including Ripple and its native token XRP. This project aims at replacing the traditional banking transaction method used by banks to save on time and costs. To highlight, this traditional system is known as SWIFT, an open standard for financial information that provided consistent, rich, and structured data for business and finance to run seamlessly.
While the SWIFT did bring about a revolutionary step towards moving large amounts of value in a much shorter time across borders on a global scale, it still had a few drawbacks. For instance, each transaction would have a varying fee or cost and these transactions could take up to a few days to arrive depending on the amount of funds and the location it was to travel too. These issues could be resolved with blockchain technology.
Thus, when Ripple made its debut and began to partner with several banking institutions, it was expected to have brought about the end of the SWIFT method. However, due to the Ripple and XRP battle with the SEC, SWIFT was able to make the best of this time to come up with a plan to stay relevant in an evolving market. Thus, as we can see front he post above, the entity is working alongside Consensys to evolve with the times.
This Move Links Several Crypto Projects Together
In detail, SWIFT is teaming up with Consensys, the Ethereum and Linea backer, alongside 30 global banks to build a blockchain settlement system for real-time cross-border payments. Meanwhile, Chainlink is piloting tokenized asset settlement through SWIFT rails using its infrastructure, and Ripple is making similar strides of its own. Together, they are working to improve the industry as we know it.