SWIFT, the backbone of global financial payments, is preparing to adopt blockchain technology to modernize its operations. Ripple and Hedera are positioned to play critical roles.
Ripple and Hedera Positioned as Key Candidates
SWIFT connects over 11,000 financial institutions across 200 countries, but faces challenges in providing fast, cheap, and secure transactions. XRP from Ripple and HBAR from Hedera are highlighted as main contenders for integration. Ripple promotes XRP as a bridge currency for banks, facilitating swift and low-cost transactions, while Hedera offers robust governance and fast transaction speeds.
Expected Real-World Banking Trials
According to Vanir Assets, SWIFT plans to conduct trials with major banking institutions in North America, Europe, and Asia. These trials will involve using digital wallets to settle transfers and tokenized cash.
Future of Blockchain Integration at SWIFT
SWIFT aims to bridge the gap between traditional finance and blockchain. The involvement of either XRP or HBAR could significantly change the landscape of international settlements worth trillions.
While no official decision has been announced regarding blockchain integration, SWIFT's actions highlight the increasing significance of digital assets in the financial sector.
