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Collaboration between SWIFT and Chainlink for the integration of blockchain in banking.

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Gherardo Fiorenzo
Gherardo Fiorenzo is an Italian author with a unique perspective shaped by his experiences in Italy and the US. His thought-provoking articles, short stories, and reviews explore the intersections of language, identity, and culture.

Swift global financial The messaging service is a partnership with Major banks and Chainlink, a provider of Web 3 infrastructure, to test integration of public And private Blockchain for global Banking services.

the society for Universal Interbank Financial Telecommunications (SWIFT), and financial Correspondence system leading the majority of global Cash and securities transferscreated a joint trial project To call private And public Blockchain.

includes cooperation leading Banks, 3rd web infrastructure provider Chainlink, and several banks global financial organizations.

The goal is to extend SWIFT’s previous interoperability efforts in 2022 to explore the process of private Blockchain with symbolic assets in the financial section. to reinforce this goalSWIFT chose to take advantage of Chainlink’s Cross-Chain Interoperability Protocol (CCIP).

the move It reflects the growing institutional interest in Meet customer needs via So and public Blockchain networks like Ethereum, according to Jonathan Ehrenfeld, head of Guarantees strategy in SWIFT.

Participants in This collaboration range from financial comp like BNP Paribas, BNY Mellon, Citi and Euroclear to organizations such as SIX Digital Exchange (SDX) and Depository Trust & Clearing Corporation (DTCC).

Chainlink contributes to the “enterprise account abstraction layer,” reflecting widespread adoption of asset Coding across banks and financial market infrastructure sectors. According to Sergey Nazarov, co-founder of Chainlink, this trend has the potential to multiply the size of the blockchain industry by a factor of ten.

Nazarov explained further on Advantages of CCIP, describing it as a “universal messaging interface” for Communication via the blockchain. He highlighted what distinguishes him edge in communication with private Blockchain, backed by active risk administration network featureswhich makes it the preferred choice for Main financial players.

Incorporate the same security model Like Oracle Chainlink networkCCIP managed over Seven trillion dollars in value. SWIFT’s goal is to exploit existing banking systems.

As SWIFT’s Director of Innovation, Tom Zschach envisions multiple series future He believes that Chainlink can facilitate costEffective integration for Banks around the world.

the proof-of-Concept designed To illustrate the practical application of interoperability across public And private networks. version required of security token on a private series by a bankf using CCIP, followed by its transfer to the Custodian Chain.

Subsequently, the tokenized securities can be purchased by a third bank and convert it to private series.

This may be the quest step Towards enabling banks to improve the different types of Guarantees for public chains.

the program It stems from understanding that digital assets You will likely stay here. And Nazarov equated this transition to development of Networks are independent in the singular entity known as the Internet.

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