Swift continues to work on various initiatives in the field of blockchain-based payment solutions. One of its strongest partnerships in this regard is with Chainlink. In a recent announcement,
Swift stated the following: "In a series of new experiments, collaborating with more than a dozen major financial institutions and IMF, including Australia and New Zealand Banking Group Limited (ANZ), BNP Paribas, BNY Mellon, Citi, Clearstream, Euroclear, Lloyds Banking Group, SIX Digital Exchange (SDX), and The Depository Trust & Clearing Corporation (DTCC), we will test how firms can leverage existing Swift infrastructures to efficiently instruct tokenized value transfers across a range of public and private blockchain networks. Chainlink, a leading Web3 services platform, will facilitate connectivity between public and private blockchains for these experiments."
This latest round of experimentation will build upon a series of successful trials in 2022, and it will also explore how financial institutions can address potential operational and regulatory challenges while operating in a blockchain environment.
As a side note, Chainlink is currently the largest blockchain-based oracle solution in the world and has achieved a monopoly-like status in the crypto space. While they may not have achieved significant success in terms of token utility, Chainlink remains successful and strong.
Payment System and Blockchain
The executives at Swift are aware that tokenized assets and blockchain-based payment systems will experience significant demand in the future. The Innovation Director of Swift made the following statement regarding the matter:
"In such a fragmented ecosystem, it will not be feasible for financial institutions to individually connect to each platform. Therefore, the community is working with Swift to develop a collaborative interoperability model that enables global access to different platforms. It is not likely that there will be a single dominant blockchain network. We expect to see the emergence of numerous different platforms, each catering to different customer segments with their unique capabilities and requirements. In such a fragmented ecosystem, it will not be feasible for financial institutions to individually connect to each platform. Therefore, the community is working with Swift to develop a collaborative interoperability model that enables global access to different platforms."
(This translation does not contain any investment advice.)