The Society for Worldwide Interbank Financial Telecommunication (SWIFT) reportedly disclosed the success status of CBDC and tokenized assets transfer on current financial infrastructure via two separate experiments. 

Specifically, as disclosed by SWIFT, the outcomes showcased “CBDCs can be rapidly deployed at scale to facilitate trade and investment between more than 200 countries and territories around the world.”

SWIFT reportedly functions as a Belgium-based messaging network that links more than 11,500 financial establishments throughout the globe, and plays a paramount role regarding the facilitation of global transactions. 

On an international scale, nine out of 10 central banks are actively deep-diving into crypto currencies. Through its Capgemini partnership, SWIFT was able to finalize transaction settlements with the help of CBDCs, dependent on numerous distributed ledger technologies, together with utilizing a fiat-to-CBDC payment network.

Fourteen central and commercial banks – including Banque de France, the Deutsche Bundesbank, HSBC, Intesa Sanpaolo, NatWest, SMBC, Standard Chartered, UBS and Wells Fargo – are now teaming up to work on a testing environment to fast-track the path to full-scale CBDC deployment.

In the second experiment, SWIFT reportedly showcased its infrastructure’s ability for tokenization platforms integration with different kinds of fiat payments. 

Via an alliance with Citi, Clearstream, Northern Trust and SETL, SWIFT deep-dived into 70 scenarios simulating the market issuance and secondary market transfers of tokenized bonds, equities and cash. 

“Digital currencies and tokens have huge potential to shape how we will pay and invest in the future. But that potential can only be unleashed if the different approaches that are being explored have the ability to connect and work together. We see inclusivity and interoperability as central pillars of the financial ecosystem, and our innovation is a significant step towards unlocking the potential of the digital future.” Tom Zschach, chief innovation officer at SWIFT, further remarked regarding the development.