BIS, the Bank for International Settlements, partnered with Singapore’s financial supervisory authority, the Monetary Authority of Singapore. The collaboration is to develop a blueprint for the multilateral linkage of real-time domestic payment systems beyond borders. It takes inspiration from the bilateral linking between Thailand’s PromptPay and Singapore’s PayNow that launched in 2021. It also leverages the NCPI’s experience. This is the National Payments Corporation of India and they developed and operated the UPI, which is the Unified Payments System.
BIS has proposed to link national payments systems internationally. This is a way to enhance the transparency, cost, and speed of cross-border payments. This sums up what bloackchain developing firms have been trying to achieve. This includes Blockchain firms like Six Clovers, powered by Algorand, XLM, and Ripple, which is powered by XRP. Initially, they had an advantage because they proposed the unique idea.
Recently, SWIFT announced that they will be able to offer cross-border payments that would take effect within minutes. They would offer the service through SWIFT Go, the company’s latest messaging product. It will complement other cross-border settlement services, such as On-Demand Liquidity by Ripple and Project Nexus by BIS.
Just yesterday, Ripple announced that their product, On-Demand Liquidity, will be going live in Japan. This has set the platform for more crypto enthusiasts in Asia Pacific to adopt crypto-enabled services. The move further establishes the XRP Ledger’s utility. More so, it is at a crucial period for Ripple Labs at a time when it is facing a lawsuit from the SEC. The lawsuit states that XRP is a security due to its decentralized nature.
Recently, Hester Peirce, the SEC Commissioner, came forth to clarify the agency’s position. He stated that they could file a complaint against firms because of unregistered security offerings. This is even is the instrument in question isn’t a security in the SEC’s perspective.
With SEC’s Commissioner Elad Roisman, he released a statement. He admitted that there was a lack of clarity in the crypto domain. This further added to Ripple’s claim that they hadn’t received a warning that XRP could be considered a security.
Ripple has adopted a defense that they hadn’t been provided a fair notice. This can be a potential threat to the SEC’s future plans to enforce actions against the crypto domain. The agency foretold the court that if Ripple wins on the Fair Notice defense, it would nullify the Howie Test.
BIS started an Innovation Hub in London in June. This was a move to push for cryptocurrencies. After that, they praised CBDC’s against Bitcoin, adding that stablecoins aren’t a savior either. That’s because they can negatively affect the monetary system’s liquidity as well.