by: JescaKW
The ISO 20022 compliant cryptocurrencies will form the backbone of the New Financial System, replacing the legacy 50-year-old SWIFT payment system. This will be a new international blockchain-based financial payment system for global central banking and support international and cross-border payments around the world.
What does that mean, exactly?
Need to transfer money overseas? Today, it is easy to walk into a bank and transfer money anywhere around the globe, but how does this happen? Behind most international money and security transfers is the Society for Worldwide Interbank Financial Telecommunications (SWIFT) system. SWIFT is a vast messaging network banks and other financial institutions use to quickly, accurately, and securely send and receive information, such as money transfer instructions.
According to Swift, ISO 20022 is an open global standard for financial information. It provides consistent, rich and structured data that can be used for every kind of financial business transaction. As major currencies adopt ISO 20022 formatting, SWIFT estimates that 80% of global, high-value payments by volume will be processed through ISO 20022.
The 20022 ISO update could give certain cryptos the advantage of being ISO-compliant and chosen by banks for crypto payments. While the blockchain community often criticizes centralized bank services as slow and outdated, this update could signal they’re ready for change. To be compliant, a crypto blockchain would have to fulfill all the SWIFT communication requirements, including the ability to pass customer data on the blockchain. This will increase safety for customers using centralized banks to send decentralized crypto.
Over the next few years, financial institutions will begin switching over to the ISO 20022 standard for communication, after which they will officially be able to use crypto for payments. Currently, Ripple is the only crypto company to comply with the new standards and serve as a member of the ISO 20022 management group. Other cryptos that become ISO compliant will benefit greatly.
Whether it is international banks, institutional investors, or just regular folks investing, tremendous wealth is being invested and created with the use of blockchain technology and cryptocurrency. Even the central banks are busy incorporating this technology into their new Global Financial System.
ISO 20022 Crypto List
I have some of these in my hot wallet, my plan is to buy all these cryptos and store them on my hardware wallet for long term holding. Stay tuned for details on how that went.
Resources: Altcoin Investors, Phemex
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