The transition to the ISO 20022 standard represents a significant step in updating the global financial infrastructure. This transition, initiated by SWIFT, could fundamentally change approaches to international transfers and operations with digital assets.
Transition to ISO 20022 Standard
ISO 20022 is becoming the new global standard for financial messaging, replacing the outdated MT format used by SWIFT. The new standard uses XML format, allowing for more detailed transaction data. The implementation of ISO 20022, initiated by SWIFT in 2018, is expected to be fully adopted by November 2025.
The Importance of this Transition
This transition is more than a technical upgrade; it represents a complete reassessment of how money moves globally. Financial institutions will be able to leverage richer data for better fraud detection, operational optimization, and the introduction of innovations including real-time payments and digital asset integration. Meanwhile, many banks are not yet prepared for this transition, highlighting the need for prompt action.
XRP's Strategic Advantage
Ripple's XRP Ledger is already compatible with the ISO 20022 standard, providing a significant advantage over traditional banking systems. Ripple joined the organization setting ISO 20022 standards in 2020 and has developed its technology to meet these new requirements. In 2025 alone, RippleNet processed over $1.3 trillion in payments, demonstrating that XRP is already addressing the challenges posed by this new standard.
The transition to ISO 20022 opens new opportunities for financial institutions. As XRP is already prepared for these changes, it may play a key role in the future of the global financial system.
