Distributed Ledger Technology (DLT)

Understanding the potential to transform the financial industry.

Linking gpi with DLT and trade ecosystems

The proliferation of closed trade and platform ecosystems, a number of which are leveraging tools such as distributed ledger technology (DLT), has brought a range of benefits to corporates operating in e-commerce activity.

If you are active in these ecosystems, you might struggle to find secure and reliable settlement - with payment confirmation - to keep trade flowing freely.

And solutions such as settling transactions with digital assets are not ideal, as they bring risks around price volatility and gaining regulatory approval.

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The solution

In early 2019, we kicked off a proof of concept (PoC) to trial a new gateway to interlink trade and e-commerce platforms with SWIFT gpi

This link will seamlessly connect ecosystems to gpi member banks, enabling gpi payment initiation, end-to-end payment tracking, payer authentication and credit confirmation using fiat currencies.

And to ensure global integration and interoperability, it will support APIs, as well as SWIFT and ISO standards.

Pilot project

In the first stage of the PoC, gpi will be connected to the Corda Settler application of blockchain infrastructure provider, R3. The aim is to bring the benefits of gpi payments - speed, ubiquity and certainty - to distributed ledger technology (DLT)-enabled trade.

In the PoC, corporates using the R3 platform will be able to:

  • authorise payments from their banks;
  • settle gpi payments through their bank
  • receive credit confirmations on the respective trade platforms via SWIFT gpi on completion

The results of the PoC will be demonstrated as a prototype at this year’s Sibos.

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Interested in getting involved?

While the PoC initially addresses R3’s DLT-based trade environment, we are continuing our work on the PoC. We welcome other trade ecosystems (both DLT and non-DLT based) interested in tapping into our network of gpi banks to securely settle transactions to take part.

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Want to know more about the PoC?

Get in touch with one of our experts and get your questions answered.

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