Global payments cooperative Swift announced the launch of a blockchain-based shared ledger with more than 30 global banks and Consensys, aiming to deliver instant, 24/7 cross-border transactions.

The ledger will use smart contracts, programs that automatically enforce transaction rules, and is positioned as a direct answer to competition from stablecoins.

Swift unveils shared ledger to counter stablecoins

The $300 billion stablecoin market, dominated by dollar-pegged tokens, enables users to transfer funds directly without intermediaries. Swift framed its initiative as essential to preserve relevance as regulators tighten oversight.

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European banks have also outlined plans for a euro-denominated stablecoin by 2026, underscoring the pressure on legacy payment systems.

Swift said the shared ledger will record, sequence, and validate transactions, integrating compliance data through ISO 20022 messaging. This approach seeks to merge blockchain programmability with the predictability and transparency expected in regulated banking.

Swift stressed that the initiative will run in parallel with upgrades to existing fiat rails, allowing institutions to choose between traditional and tokenized infrastructure.

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Consensys, the developer of Ethereum layer-2 Linea, will build the prototype. Linea uses zero-knowledge cryptography to batch transactions for speed and privacy. Swift and banks Go to Source to See Full Article
Author: Shota Oba