The Federal Reserve of the United States is stepping ahead with the real-time payment program called FedNow Service by beginning experimentation with blockchain-based infrastructure. FedNow Service Provider Showcase was officially launched by the Fed, targeting the provision of several services to the financial organizations to assist them in the implementation of FedNow Service, expected to launch during the coming year.
At its launch, up to 70 service providers and profiles were included in the showcase having support for swift payments, taking account of a blockchain company based in New York, that centers around the solutions for rapid payments, CBDCs (central bank digital currencies), and blockchain interoperability.
The respective venue is considered to have an involvement with China-based blockchain programs, like the development of the city’s blockchain infrastructure through cooperation with the Municipal of Suzhou City.
The rest of the providers included in the showcase are the services such as ePayments, Mastercard Track Business Payment Service, and BNY Mellon Immediate Payments. Sky Guo – the CEO of Cypherium – stated that their platform is the solely selected firm up till now. He added that the customers will be permitted to utilize the blockchain or digital wallet of Cypherium as included in the payment project FedNow.
Apart from that, he mentioned, the technology of Cypheriu will provide interoperability with the rest of the payment solutions. In his words, their consumers will receive a digital wallet to reach the services of FedNow, allowing FedNow to communicate with the rest of payment systems such as RTGS, providers of payment solutions, as well as others.
Nick Stanescu – the business executive of FedNow – revealed that the participation of Cypherium in the program will assist the institutions to detect as well as have a linkage with the collaborators they will require to construct the end-to-end services demanded by the market.
It has been recently reported that the Federal Reserve Board of the United States officially declared its intentions to introduce FedNow during 2019 to fulfill the crucially important target of enabling the banks in the United States to deliver real-time payments to the consumers thereof in the next year.
In addition to FedNow, a participant of the US-based FPC (Faster Payments Council) – an institution focused on the provision of a worldwide system of payment from 2019 onwards. As per the CEO of Cypherium, Ripple (a blockchain-based payment company) is the sole other blockchain-related affiliate under the FPC.
James Thompson