Seventeen major banks spanning six countries are set to launch live transaction pilots on Swift’s new blockchain-based shared ledger system, marking a significant step toward mainstream tokenised banking infrastructure. The initiative will utilize tokenised deposits to enable round-the-clock payment processing and improve liquidity management across institutions.
The pilot represents Swift’s push to integrate blockchain technology into traditional banking rails without forcing institutions to abandon existing infrastructure. By creating an interoperable ledger system, Swift aims to bridge the gap between conventional payment networks and emerging digital asset frameworks. The move comes as financial institutions worldwide face mounting pressure to modernize payment systems while managing multiple blockchain platforms and digital currencies.
Participating banks will test real transactions rather than simulations, providing critical data on how tokenised deposits perform in live environments. The 24/7 availability addresses a key limitation of current banking systems, which typically operate only during business hours with batch processing delays.
FXnCO Insight
Banks and payment providers should monitor this pilot’s success metrics closely, as Swift’s interoperability approach could become the industry standard for blockchain integration without requiring complete infrastructure overhauls.
Source: Finextra