SWIFT, the interbank financial messaging system, quashed the rumors of its integrating with Ripple.
Speculation Led to XRP Price Jump
The Society for Worldwide Interbank Financial Telecommunication (SWIFT) network has distanced itself from rumors of it helping Ripple’s price to surge.
Recently, reports were circulating on the internet that SWIFT, in its upcoming upgrade, would make Ripple’s products available to 4,000 new banks.
It was claimed that the Ripple community got excited by the rumors and the price of XRP surged based on the speculation. XRP briefly overtook Ethereum to claim the second slot by market capitalization.
SWIFT provides an interbank network that enables financial institutions to exchange information about financial transactions in a safe, reliable, and secure manner.
More than 11,000 banks and financial institutions in over 200 geographies are part of the network. It should be noted that SWIFT does not facilitate the money transfers but only the sending of payment orders which the banks need to settle between themselves.
Ripple, on the contrary, has just over 100 banks and financial institutions as part of its RippleNet that use its xCurrent solution for settlements. The blockchain firm’s solution can be viewed as a competitor to the SWIFT system.
SWIFT Officially Denies Rumors
However, SWIFT’s spokesperson is reported to have said that there was no such development and that the upgrade to its GPI system was a technical one that would enable a tracking reference to be added to all transactions. The spokesman said:
I’m not sure where those rumours are coming from, but the upcoming standards release … is entirely unrelated to RippleNet. Its primary purpose is to ensure all payments include a tracking reference (UETR, Unique End-to-End Transaction Reference), which will allow banks to track their GPI payments end to end in real time.
Reportedly, even a source knowledgeable of the matter had denied any evidence of such an integration.
Such speculation has become commonplace within the cryptocurrency community, generally leading to a temporary surge or decline in the price of the digital assets. A few weeks back, fear of Tether’s delisting from a few exchanges led to a massive USDT sell-off, leading to a drop in its price to $0.95.
What are your thoughts on the rumors of the collaboration between Ripple and SWIFT? Let us know in the comments below.
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