IBM’s ‘World Wire’ To Facilitate Cross-Border Payments

March 25, 2019 by Petar Markoski

IBM recently launched a new software platform known as ‘World Wire’ which is based on blockchain technology.

This innovative platform leverages IBM’s Stellar blockchain infrastructure to facilitate real-time payment clearing and settlements. It supports 47 currencies and is available in 72 countries. There are even plans to add more in the future.

While the new system appears to be new competition for the banking industry, IBM insists that it is just becoming a facilitator for payments, with its role being the one who develops the infrastructure and not the one who operates it. IBM has invited banks to use their platform and carry out the payments themselves.

This move continues the company’s aim to build a foundation for banks to do business and enhance their service. IBM insists that its World Wire product is more like the old SWIFT global payment network which has been the mainstay of international banking for decades now.

IBMBlockchain

 

World Wire uses US dollars and Stellar Lumens as its main forms of transfer. The system uses existing financial institution as gateways to the network, making it easy to connect. All they need to do is just hook up to the network via the World Wire APIs and then convert their fiat currency into digital tokens for transfer. The blockchain ensures that the payment is quick and easy.

The only competitor that World Wire has is the from Ripple Labs who is developing xRapid. This is supposed to be a payment protocol for cross-border payments. It uses xRP coins in the same way that World Wire uses Lumens. Considering both of them use the blockchain, it will be interesting to see who comes out on top.

Currency Matters To Adopt World Wire

Currency Matters which specializes and facilitates forex payments all over the world has decided to use World Wire. With its participation in the World Wire network, it will have access to a single unified payments system that connects to several major financial institutions.

Besides the payments, Currency Matters will also have access to new digital assets. The crown jewel is the access to stable coins like Stellar Lumens.

In a statement, Jon Anderson, the CEO of Currency Matters said

We are proud and excited to have been selected as an Early Adopter and Core Member of the World Wire network. Working with IBM, Currency Matters will help to deliver a faster, more transparent, and secure cross border payments process at a much lower cost. This technology will revolutionize the global payments industry and we are delighted to play our part.