As the use of cryptocurrencies becomes more widespread, an increasing number of financial firms and banks have started to take steps that might pave the way for the implementation of digital assets.
One of these financial institutions is the global payment giant SWIFT, which acknowledged at the start of July that “digital assets are a key topic on the innovation agenda, as many leading forces in the industry know,” when announcing its SWIFT Hackathon 2022.
The event will be a continuation of its objective to collaborate with leaders in the fintech industry to address the most difficult technology problems that arise in the development of the digital economy.
SWIFT hopes to bring together the brightest minds
In the Hackathon, SWIFT hopes to enlist the participation of the computer industry’s most brilliant minds and those at the vanguard of finance.
In particular, the theme of the event ‘Digital assets: exploring interoperability and ownership’ means participants will focus on analysing the traceability of ownership of digital assets and exploring interoperability between the platforms that process these assets.
Notably, SWIFT aims to bring together specialists at the forefront of the most recent advancements around these issues and provide them with a forum to share their expertise.
SWIFT which provides services related to the execution of financial transactions and payments between banks worldwide noted:
“At SWIFT, we’ve already been experimenting around this topic with major industry players and fintechs, as well as using our expertise to help others.”
The payment giant added:
“Participants should address one or more of the following use cases: coin-to-coin, tokenised asset to single currency, tokenised asset purchase with multi-linking,”
Financial firms looking to speed up processes
The banking and financial sectors are looking for ways to speed up operations and save expenses. In the meanwhile, the development of innovative technologies may be beneficial in resolving long-standing interoperability problems, with accelerated creation of digitally-native assets and conversion of existing ones.
Another consideration SWIFT wants to examine is whether the transferring from one ledger to another, even if these ledgers make use of distinct technological platforms, will lead to an even higher level of complexity, or whether it compels issuers and intermediaries to embrace solutions that are more appropriate.