Why Hbar and XRP Are Left Out of SWIFT's Future Plans | Chainlink's Rising Influence
A wave of skepticism continues to swell around the exclusion of cryptocurrencies like Hbar and XRP from SWIFT's latest plans. Recent partnerships emphasize integration, leaving these digital assets on the outside looking in.
SWIFT Partners with Chainlink: A Game Changer
In its collaboration with Chainlink, initiated back in 2017, SWIFT is redefining its operations and taking blockchain technology to heart. As Jonathan Ehrenfeld Solé, SWIFT's Strategy Director, stated, "You were actually one of the first startups that we bet on," indicating a strong commitment to this partnership. This evolution allows traditional banks to engage seamlessly with blockchain without overhauling their existing systems.
In a notable quote, Arjoon from SWIFT explained, "So from SWIFT’s side, it becomes a lot more powerful because instead of just messaging, it can do settlements as well now, not directly but through the blockchain." This move is instrumental in transforming how financial institutions engage with digital assets.
Major Developments in 2023
As we navigate through 2023, a surge in activity from SWIFT and Chainlink is evident. Just this week, metrics show that daily transfer volumes through Chainlink’s Cross-Chain Interoperability Protocol (CCIP) have quadrupled to over $20 million—the highest it’s ever been. Interesting to note, this spike suggests "something is cooking!"
Continuing the trend, ANZ, Australia's largest bank with over $1 trillion in assets, is utilizing CCIP to securely facilitate cross-chain transfers, including transactions involving stablecoins.
In response to these changes, Ehrenfeld mentioned, "For digital assets to be adopted globally, they must seamlessly integrate with both existing payment systems and digital currencies." This ambition reflects a significant shift in financial institutions keen on enhancing operations within a fast-paced digital landscape.
The Road Ahead for Hbar and XRP
The emphasis on Chainlink is not particularly promising for Hbar and XRP. Once viewed as key players for global transactions, the future looks bleak as SWIFT’s integration with Chainlink pushes them further out of the picture. The potential advantage of using Chainlink's CCIP seems to certainly overshadow Hbar and XRP, with many in the community lamenting the shift.
Community Sentiments and Reactions
Debate continues among users regarding the implications of these developments. One user noted, "I still have people thinking Hbar or Ripple are working with SWIFT," revealing ongoing confusion about the evolving dynamics.
Key points shared by the community include:
📊 Speculation is rife concerning the necessity of the Chainlink token for CCIP integration.
🔗 Increased focus on how Chainlink's CCIP requires LINK to maintain system integrity.
💸 One user remarked, "Using a public network more or less eliminates their business model," referring to banks' hesitance toward adopting Hbar or XRP.
As SWIFT moves forward with its integration plans, the critical question remains: Will Hbar and XRP find a way to stay relevant, or will they ultimately fade into the background amid this rapidly improving financial framework?