Crypto Powerhouses Converge: Ripple’s XRP, Stellar’s XLM, and IOTA Team Up for SWIFT Integration, Propelling the Billion-Dollar Crypto Market Forward

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- - Ripple, Stellar’s XLM, and IOTA, members of the ISO 20022 Standards Body, open the path to SWIFT integration.
  - Recently recognized as the best cross-border payment provider, SWIFT’s adoption of ISO 20022 paves the way for a more efficient international transaction landscape.

An innovation is poised to disrupt the financial world as Ripple, Stellar’s XLM, and IOTA align themselves with ISO 20022, laying the groundwork for a potential integration with SWIFT. This comes in response to the fragmented interoperability often observed among financial institutions, a challenge that ISO 20022 seeks to address by offering global standards for financial electronic messaging.

Fraud targeting consumers and businesses has been on the rise and has led to scrutiny from regulators across the world.

We’re focused on helping banks detect and prevent fraud that affects their customers.

Learn more about how fraud targeting consumers and businesses affects… pic.twitter.com/tb4XWgEnAB

— Swift (@swiftcommunity) May 30, 2023

Ripple made headlines in May 2020 by joining the ISO 20022 Standards Body. Recent reports indicate that Stellar (XLM) and IOTA also form part of this body, opening the door for a promising collaboration with SWIFT.

The ISO 20022 protocol has been applauded for overcoming challenges such as inefficiencies and inflated costs inherent in the older payment format. According to Stephen Lindsay, Swift’s strategic platform business lead, this new protocol is capable of streamlining cross-border payment processes by establishing a universal language for transactional messages, significantly reducing time lags and expenses.

SWIFT’s potential engagement with ISO 20022 promises to enhance data quality within cross-border payments, permitting businesses to deploy resources more productively. The shift to this enriched data standard fosters global connectivity, compatibility with virtually all global payment systems, and improved resilience and efficiency.

In March 2023, SWIFT announced its plan to adopt ISO 20022, with the goal of implementing the new standards fully by November 2025. As Ripple, IOTA, and Stellar’s XLM actively participate in this process, it is projected that other cryptocurrency networks will soon follow.

Ripple’s XRP, Stellar’s XLM, and IOTA are uniquely positioned to disrupt traditional banking systems, given their advanced technology and partnerships with major industry players. They have managed to integrate with SWIFT, the international transaction network for banks, potentially catalyzing a seismic shift in global finance.

Ripple’s XRP, in particular, has proven successful in forging alliances with traditional financial institutions. Its real-time cross-border payment settlement technology outperforms conventional methods in speed and cost-effectiveness. Similarly, Stellar’s XLM focuses on providing decentralized financial services to underserved populations, while IOTA offers a scalable solution for secure, feeless transactions within the Internet of Things (IoT).

Transitioning to ISO 20022 will impact not only payments but also the trade finance ecosystem. This will significantly affect payment and reconciliation processes for trades between importers and exporters. With universal language, streamlined processes, and reduced costs, this standard, combined with blockchain technology, is set to transform the end-to-end payment and trade finance flow.

The post Crypto Powerhouses Converge: Ripple’s XRP, Stellar’s XLM, and IOTA Team Up for SWIFT Integration, Propelling the Billion-Dollar Crypto Market Forward appeared first on ETHNews.

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