SWIFT Partners With Chainlink On A Cross-chain Interoperability Protocol

System of interbank messaging SWIFT has collaborated with pricing oracle provider Chainlink (LINK) on a proof-of-concept (POC) project that would enable traditional financial businesses to interact over blockchain networks.

Chainlink co-founder Sergey Nazarov launched the initiative alongside SWIFT strategic director Jonathan Ehrenfeld Solé on September 28 at the SmartCon 2022 Conference in New York.

Solé stated at the conference that there is unmistakable demand from institutional investors in digital assets, adding that these conventional financial players want access to both digital and traditional assets on a single platform.

The POC makes use of Chainlink’s Cross-Chain Interoperability Protocol (CCIP), which allows SWIFT messages to instruct token transfers across nearly every blockchain network, which Nazarov believes will accelerate the adoption of distributed ledger technology (DLT) blockchains in capital markets and traditional finance.

Transactions on the SWIFT network can take several days to complete, and the corporation has been researching blockchain and distributed ledger technology as well as central bank digital currencies (CBDCs) to promote speedier payments.

This partnership with SWIFT, according to Chainlink, allows financial institutions to achieve blockchain capacity without replacing, creating, and integrating new connectivity into old systems, which would need significant adjustments at an unusually high cost.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Website: coincu.com

Harold

CoinCu News