- SWIFT is advancing its central bank digital currency (CBDC) interoperability project with three central banks joining the beta phase.
- The platform has moved into a new phase of sandbox testing with participant numbers expected to exceed 30.
According to a recent update on Sept. 13, three central banks, including the Hong Kong Monetary Authority and the Central Bank of Kazakhstan, have collaborated with SWIFT’s CBDC interoperability venture. They will be integrating their infrastructure for direct testing with SWIFT’s specialized “CBDC connector solution”. Cointelegraph reports on SWIFT’s central bank digital currency (CBDC) interoperability project, offering deeper insights into this partnership.
Sandbox Testing Evolves with More Participants
SWIFT initially started its sandbox testing in March. It had an impressive roster of over 18 participants, comprising top names such as the Royal Bank of Canada, Banque de France, Société Générale, BNP Paribas, Monetary Authority of Singapore, HSBC, Deutsche Bundesbank, and NatWest. The testing witnessed more than 5,000 transactions within a 12-week span. With the new phase, SWIFT expects the participant tally to surpass 30.
The Implications for SWIFT in the CBDC Landscape
As SWIFT messaging is interconnected with over 11,500 global financial institutions, the integration of CBDCs poses both challenges and opportunities. The emergent CBDC technology could offer stiff competition to SWIFT in several scenarios. Notably, the CBDC bridging projects, which have the backing of the Bank for International Settlements, exemplify this prospective rivalry. Yet, competition has always been a catalyst for innovation.
The advancements of SWIFT in the realm of CBDCs has caught the attention of fintech experts and enthusiasts alike. John Kiff, a notable voice in the sector, recently tweeted about this development:
Today’s #Fintech Digest includes SWIFT beta testing interlinking #CBDC with existing fiat infrastructures, and Telegram integrating The Open Network (TON) based self-custodial crypto wallet into its 800 million active user messaging platform. https://t.co/37R1YAVtMC pic.twitter.com/HkaxqEzPKF
— John Kiff (@Kiffmeister) September 13, 2023
- Invest in Ripple (XRP) and 70+ cryptocurrencies and 3,000 other assets.
- 0% commission on stocks – buy in bulk or just a fraction from as little as $10.
- Copy top-performing traders in real time, automatically.
- Regulated by financial authorities including FAC and FINRA.
2.8 Million Users
Get Started
Crypto News Flash does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to cryptocurrencies. Crypto News Flash is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned.
Credit: Source link
