tl;dr
Major financial players such as Mastercard, Visa, JPMorgan, and Citigroup are collaborating to launch the Regulated Settlement Network (RSN), which aims to revolutionize financial markets through distributed ledger solutions. This initiative seeks to integrate commercial bank money with wholesale ce...
Financial giants unite to launch the Regulated Settlement Network (RSN) for multi-asset settlements with distributed ledger technology.
RSN integrates commercial bank money with wholesale central bank funds and various securities, including US Treasuries and investment-grade debt. Endorsed by the New York Innovation Center of the Federal Reserve Bank of New York, RSN involves key players like Swift, Deloitte, Wells Fargo, and TD Bank.
Previous trial focused on domestic interbank and cross-border payments, engaging more financial institutions and advisory bodies for a thorough approach. Forecasted worldwide spending on blockchain solutions to reach $19 billion by 2024, with major financial players involved in the RSN initiative.
RSN aims to simplify the settlement process, reduce risk of errors and fraud, and strengthen financial infrastructure against operational inefficiencies. Exploratory phase does not guarantee a move toward commercial deployment.
Major financial players such as Mastercard, Visa, JPMorgan, and Citigroup are collaborating to launch the Regulated Settlement Network (RSN), which aims to revolutionize financial markets through distributed ledger solutions. This initiative seeks to integrate commercial bank money with wholesale central bank funds and various securities, including US Treasuries and investment-grade debt.
The project is endorsed by the New York Innovation Center of the Federal Reserve Bank of New York and includes key players like Swift, Deloitte, Wells Fargo, and TD Bank. The RSN initiative aims to simplify the settlement process, reduce the risk of errors and fraud, and strengthen the financial infrastructure against operational inefficiencies.
The potential impact of this initiative on market infrastructures is highlighted, with forecasts suggesting that worldwide spending on blockchain solutions will reach $19 billion by 2024. However, this phase is exploratory and does not guarantee a move toward commercial deployment.
In a push to harness cutting-edge technology, Mastercard, Visa, JPMorgan, and Citigroup are setting the stage for what could be a revolution in financial markets with distributed ledger solutions.
The RSN plans to integrate commercial bank money with wholesale central bank funds and various securities, including US Treasuries and investment-grade debt. By facilitating settlements in US dollars, the project tests the feasibility of a more interconnected financial ecosystem with distributed ledger technology.
The RSN’s collaborative framework extends beyond a simple partnership. It includes key players like Swift, Deloitte, and prominent US banks such as Wells Fargo and TD Bank. Each participant contributes unique expertise, advancing the adoption of distributed ledger technology across the US financial system.
A previous 12-week trial focused on domestic interbank and cross-border payments. This new phase builds on that foundation, engaging more financial institutions and advisory bodies like the Securities Industry and Financial Markets Association (SIFMA) to ensure a thorough approach to deploying this technology.
Spending on blockchain solutions is rising, with forecasts suggesting it will reach $19 billion by 2024, with major financial players involved in this trial.
The RSN initiative aims to simplify the settlement process by merging various forms of money and securities onto a single platform. This reduces the risk of errors and fraud and strengthens the financial infrastructure against operational inefficiencies.
This initiative puts institutional players at the forefront of setting the direction of digital and decentralized finance as trust in the US dollar erodes. Transitioning to a highly efficient financial system using shared ledger technology could be exactly that kind of strategic pivot. Still, this phase is exploratory and does not guarantee a move toward commercial deployment.
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