SWIFT Opens The Gates to Blockchain Platforms Through Their Instant GPI Payments

Global interbank messaging firm, SWIFT has stated it will start to open the gates for blockchain companies to utilize its Global Payments Innovation (GPI) platform for near real-time payments.

In a recent report, SWIFT highlighted that, following its successful proof-of-concept with R3’s Corda platform, they would ‘soon be enabling gpi payments on DLT (distributed ledger technology)-based trade platforms.’

SWIFT mentioned that its GPI would resolve payment challenges that are faced by DLT platforms. It is reported that payments using the system would be initiated within trade workflows and be automatically sent on to the banking system.

The GPI was initially launched in 2017 as a set of business rules encoded on top of SWIFTs infrastructure to increased speed, transparency and traceability of the transactions. The GPI system currently accounts for 55% of SWIFTs cross border payments which amounts to over $40 trillion. According to reports ‘Half of them are reaching end beneficiary customers within minutes, and practically all within 24 hours,’ and it is expected that all cross-border SWIFT payments will be made via GPI wtihin 2 years.

When the proof of concept was first launched in January of this year, it was expected that the trial would connect the GPI Link gateway with R3’s Corda platform to monitor payment flows and support application programming interfaces (APIs).

At time of launch, David E. Rutter the CEO of R3 stated that ‘Following the recent launch of our Corda Settler, allowing for the payment of obligations raised on the Corda platform, it was a logical extension to plug into SWIFT GPI. SWIFT GPI has rapidly become the new standard to settle payments right across the world. All the blockchain applications running on Corda will thus benefit from the fast, secure and transparent settlement provided through the SWIFT gpi banks.’

Ripple enthusiasts will also note that R3 initially began testing its Corda Settler payments engine with XRP, demonstrating its interoperability with multiple payment systems.

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