Chainlink and SWIFT Integration Reaches Production-Ready Phase for Blockchain Payments

On Oct 24, 2024

Chainlink and SWIFT’s integration reaches a production-ready phase, enabling financial institutions to adopt blockchain without overhauling their infrastructure.
This collaboration facilitates blockchain payments, tokenized asset settlements, and CBDC transactions, accelerating blockchain adoption in traditional finance.

Following last year’s move by Chainlink, as CNF reported earlier, Chainlink and SWIFT have joined forces with MAS in an interoperability push for digital assets. Currently, Chainlink and SWIFT integration has reached the production stage. This marks a crucial development for blockchain adoption in traditional finance, as it allows financial institutions to incorporate blockchain capabilities without overhauling their infrastructure.

As presented in a YouTube video from Chainlink, Chainlink’s co-founder, Sergey Nazarov, announced a major milestone today at Sibos 2024 in Beijing, revealing that the integration of SWIFT’s traditional payment system with blockchain technology has progressed to a production-ready phase. He said during his keynote address.

We’re now at a point where this system is ready to be integrated with your existing institutional systems,

Sibos, which brings together leaders in financial services from around the world, provided an ideal setting for Nazarov to highlight these advancements.

Chainlink-SWIFT Collaboration Paves the Way for Blockchain Payments

For several years, Chainlink has worked closely with SWIFT to create a seamless link between traditional SWIFT messages and blockchain networks. Nazarov explained that the system has moved from concept to pre-production, enabling financial institutions to begin real-world testing. He emphasized that the integration is now ready for institutional use.

We’ve reached a stage where banks can integrate this technology into their existing frameworks.

Sibos 2024 Showcases Key Innovations for Blockchain and AI Adoption

During Sibos 2024, Nazarov showcased several groundbreaking capabilities aimed at accelerating blockchain adoption across capital markets, including SWIFT integration with blockchains, blockchain privacy, AI consensus, and the DECO sandbox.

This system operates by first using SWIFT’s conventional messaging system to handle transaction details, followed by Chainlink’s infrastructure to convert these messages into on-chain events.

This is expected to enable the settlement of tokenized assets, real-world financial instruments, and even Central Bank Digital Currencies (CBDCs) via SWIFT’s existing channels. However, Chainlink (LINK) is currently trading at $11.44, with a decrease of 3.85% in the past day and an increase of 1.06% in the past week.