Bank of England: Next-gen settlement system will be blockchain compatible

posted 6 months ago
The governor of the Bank of England, the UK’s central bank, has revealed that an upcoming version of the UK’s main interbank payments system will be compatible for settlements in a blockchain.

BOE governor Mark Carney was speaking at this year’s International Fintech Conference in London this week. The official confirmed the development of the central bank’s own proof-of-concept ledger, to “distinguish distributed ledger’s potential from its hype,” Carney explained.

The UK’s banking system sees the Bank of England perform its role as the settlement agent via its RTGS platform and processes £1/2 trillion of payments from commercial, regional and international banking. The current RTGS system only extends to 52 institutions with settlement accounts in the UK’s interbank payments platform.

The Bank of England joined the Linux Foundation-led open-source Hyperledger blockchain collective earlier this year.
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