SWIFT will use blockchain for remittances
SWIFT announced the launch of an innovative project, which should speed up and simplify international money transfers and will be based on blockchain technology. The role of mediator in this case is reduced.
Banks wishing to participate in this initiative will sign multilateral agreements on the level of service delivery. The project will be launched at the beginning of 2016, SWIFT says on its website, and will facilitate the payment of services to corporations.
The new initiative will allow the recipient to use funds to transfer the money the same day. It will also increase transparency and predictability of assessments and provide an opportunity to follow the money from the beginning to the end of the transfer. Traders also have access to the details of the transfer, say the authors of the initiative.
After running a pilot project for corporations SWIFT plans to expand the initiative and use new financial technologies. Wim Reymeykers, head of the banking market of SWIFT, says:
"This initiative is an important first step for the development of innovations in the field of international money transfers. Through this initiative, we will continue to develop new services using the project Innotribe for further involvement of experts in the field of financial technology and explore possible areas of application of such innovations as tracking the status of money transfer in real-time, peer communication and technology blockchain. "
Innotribe is a community bank managers, developers and manufacturers of financial technology, as well as venture capitalists, which is introducing innovative technologies in banking.
SWIFT (the Society of World Interbank Financial Telecommunication) is the organization, carrying out financial transactions for more than 10,800 banks worldwide.