IBM Integrates Banks with Swift's Blockchain Ledger for Tokenized Deposits
IBM has connected banks to Swift's blockchain-based shared ledger for tokenized deposits through a beta integration of its Digital Asset Haven platform. This move aims to make it easier for financial institutions to adopt blockchain technology by allowing them to send instructions to the ledger using existing payment-message formats.
The integration, which is currently being tested by 17 first-mover institutions, enables banks to instruct tokenized-deposit transactions using ISO 20022 payment messages. This means that banks can maintain their existing infrastructure and compliance processes while still leveraging the benefits of blockchain technology.
IBM's Digital Asset Haven platform allows financial institutions to run a digital-asset platform inside their own data centers, providing an on-premises version of the beta integration. This offers heavily regulated banks greater control over their operations and infrastructure, which is essential for those in highly regulated industries.