SWIFT and Chainlink to Launch Blockchain Platform for Banks

SWIFT and Chainlink launch blockchain platform for banks.

The financial messaging network SWIFT announced the launch of a new blockchain-based registry. This development is the result of a long-standing partnership with Chainlink and two years of research into digital assets.

The new system facilitates the processing of corporate events in the financial sector. The project involves 24 major organizations, including DTCC, Euroclear, UBS, and Wellington Management. The technology employs artificial intelligence to extract data from unstructured documents, with network participants verifying the accuracy of the information.

Verified data is converted into standard ISO 20022 messages and transmitted via the SWIFT network. Simultaneously, Chainlink’s cross-network protocol distributes the same data to public and private blockchains. Testing demonstrated nearly 100% data accuracy and support for multiple languages, including Spanish and Chinese.

The solution creates a single reliable source of data on corporate events, accessible simultaneously for smart contracts and traditional systems.

A key feature of the partnership is the ability for banks to use existing SWIFT infrastructure and messaging standards to interact with blockchains. This reduces the cost and complexity of transitioning to tokenized assets.

The collaboration between SWIFT and Chainlink began in 2016. The first step was a demonstration of a smart contract for bonds, which received data through oracles and sent payment messages via SWIFT.

In subsequent years, the partners conducted several successful experiments, including cross-network transfers of tokenized assets and settlements of tokenized fund shares using fiat currency.

In September, SWIFT integrated a blockchain-based distributed ledger integration.