Will Blockchain replace the SWIFT system used by Banks?

[Leyss]

Of course, the SWIFT method, which banks used to transfer non-cash money earlier, has long been outdated. It will be gradually replaced by blockchein technology and this is already happening. Many large banks have already switched to using the ripple network and this will continue further until SWIFT disappears just like outdated technology.

[Abiky]

Of course, the SWIFT method, which banks used to transfer non-cash money earlier, has long been outdated. It will be gradually replaced by blockchein technology and this is already happening. Many large banks have already switched to using the ripple network and this will continue further until SWIFT disappears just like outdated technology.

Everything will depend whenever SWIFT adopts the Blockchain or not. If it doesn't, then it'll never be able to outpace Ripple itself. But if it does, then it'll become a true contender of many Enterprise Blockchain platforms known today such as Hyperledger and R3 Corda. Things aside, it's interesting to know that Banks have started to embrace Blockchain technology one way or the other. The recent Ripple partnerships, and IBM's World Wire Payments Network based on Stellar should transform traditional finance in many ways.

Whenever it's SWIFT that will remain a key player in this space or not, Blockchain technology will become a part of our daily lives within the future. The only downside to all this, is that Banks will gain more power over people's transactions as everything is transparent, and easily manipulated by centralized entities. Hence, we might be living in a world where Banks dictate what we do with our funds in a worse way than what it is right now. Just my thoughts

[Kiweikoo]

Of course, the SWIFT method, which banks used to transfer non-cash money earlier, has long been outdated. It will be gradually replaced by blockchein technology and this is already happening. Many large banks have already switched to using the ripple network and this will continue further until SWIFT disappears just like outdated technology.

Besides this, banks will also turn to marketplaces because entrepreneurs are innovating new technologies which are causing disruptions in the business of banks. They will must start marketplace service because of the entrepreneurs if they don’t do so then their business will fall down. However, let’s talk about bank SWIFT which is making it easy for banks to identify other banks where sending and receiving money is easier between the banks.

[FoBoT]

All blockchain techs users knows that the system beats the traditional banking system in terms of speed, effectiveness and transparency.
Swift code method is like the analogy version of the blockchain that is digital.
With time analogy gives way to the digital system, just as automatic is better than manual system.

[Grishanya1234]

This is a very topical issue at the moment in which the only solution is to introduce cryptocurrency into the banking sector because, as far as I know, an international bank transfer may take several days or in some cases not even go through and this is not normal. That is why the cryptocurrency is needed in the banking sector.

[NeuroticFish]

Banking sector has a big amount of inertia. I don't expect such move happen "swiftly" 
They like to play with buzz words trying to get young people use their services. Blockchain is a powerful buzz word lately.

SWIFT is a standard. If some banks don't want to use blockchain or will implement it late, they will not be left out.
So even if some banks would start using certain blockchains for their need, it could be an alternative to SWIFT, but not really a replacement. SWIFT will remain for backward compatibility.
And this will make such a "replacement" even harder/slower.

[Nalbo]

With Ripple's growing partnerships among banks and businesses worldwide, it seems that traditional payment systems will become replaced with DLT technology (aka as Blockchain). Because of the many benefits such technology provides, it looks likely that it will replace the old SWIFT system in the future. Unless such system does the switch to Distributed Ledger Technology, it may become outperformed by Ripple or Stellar in the future.

On the other hand, IBM has been working on a new payment network called "World Wire" powered by the Stellar protocol. Which means that existing players could be left in the dust if they don't grasp the benefits of the Blockchain.

Nonetheless, what are your thoughts about this?

No. I don't think blockchain are going to replace SWIFT system used by Banks because blockchain would replace the banks entirely.
Banks are excessively costly agents with high commission. There is a high interest gap between what they provide to depositors and what they take from borrowers. Blockchain technology is going to make banks obsolete.

[eternalgloom]

It's definitely something that seems inevitable, if we're looking at the trends with Ripple & now Stellar as well.
Now, I've heard many people say that banks won't let this happen, but I feel that they will have no choice in the end.

They can either get in early (because some of their competition will do so) or they can be left out.
Now, that's not to say banks won't come up with their own solutions, but those might also actually become compatible with Ripple and Stellar etc.

[Ekyfitri]

No. I don't think blockchain are going to replace SWIFT system used by Banks because blockchain would replace the banks entirely.
Banks are excessively costly agents with high commission. There is a high interest gap between what they provide to depositors and what they take from borrowers. Blockchain technology is going to make banks obsolete.

I think we can now see a number of banks in countries that have legalized crypto many have adopted blockchain network technology. they seem to be many who will follow the development of the world. and when everyone uses Crypto I think this technology will really be very useful.

[cabron]

I wonder how someone find XRP interesting to invest these days because this someone just bought about 10M XRP which made the price surge. He must have some information besides hoping he'd profit when bulls finally gets to rally. XRP had been claiming all these bank partners but if its really that true how come they were not buying the coin when its all cheaper for them.

[Dpat]

No one is going to replace to any one. Just it was a revolution of the technology that which is the perfect for the users. Another thing is that still the Bitcoin and the cryptos are not legalised most of the big economy. So, in the recent future the Blockchain will not replace the SWIFT system.

[Abiky]

It's definitely something that seems inevitable, if we're looking at the trends with Ripple & now Stellar as well.
Now, I've heard many people say that banks won't let this happen, but I feel that they will have no choice in the end.

They can either get in early (because some of their competition will do so) or they can be left out.
Now, that's not to say banks won't come up with their own solutions, but those might also actually become compatible with Ripple and Stellar etc.

Indeed. Banks won't have a choice in the end, as Blockchain technology promises faster and cheaper transactions for their convenience. Knowing this, they've started to explore the technology more thoroughly in order to switch their entire infrastructure towards the Blockchain. My guess is that some Banks will use Ripple's Blockchain tech, while others will use Stellar's Blockchain tech with IBM's World Wire Payments Network.

Then, the outdated SWIFT system would have no choice but to adapt towards the Blockchain as well, or be left behind as other alternatives gain traction. There's a likely possibility that SWIFT will adopt Blockchain technology given how its competitors (Ripple and Stellar) have started to threaten its very existence. If this happens, then our economy will fully transition towards the Blockchain making it more efficient and transparent unlike never before. It's interesting to know how Blockchain has made strides not only in the financial world, but also in other areas such as identity issuance/verification, AI, and more.

Perhaps, in the future, we would be using Blockchain technology more thoroughly in our daily lives without noticing it. This is because, Banks, governments, and other entities will adopt Blockchain technology for everything we're used to in daily life. Nonetheless, whenever SWIFT will become replaced or not, the Fintech sector is advancing at a fast pace. Just my opinion

[Kucink]

wow, that is unique.
Blockchain replace SWIFT banking system ?
it have a big possible to be, but need a long long time if we look right now.
blockchain is algorythm math with high level security and impossible to hack in block, that is good system to use on bank.

[webtricks]

With Ripple's growing partnerships among banks and businesses worldwide, it seems that traditional payment systems will become replaced with DLT technology (aka as Blockchain). Because of the many benefits such technology provides, it looks likely that it will replace the old SWIFT system in the future. Unless such system does the switch to Distributed Ledger Technology, it may become outperformed by Ripple or Stellar in the future.

On the other hand, IBM has been working on a new payment network called "World Wire" powered by the Stellar protocol. Which means that existing players could be left in the dust if they don't grasp the benefits of the Blockchain.

Nonetheless, what are your thoughts about this?

It isn't necessary that some big giants like Ripple have to step up and provide blockchain services to Banks. Blockchain Technology is open-source and anyone can use and develop something out of it. It is quite handy for banking services as financial data can instantaneously remit over blockchain saving banks million of dollars.
In India, banks like ICICI Bank have already starting working on it and have future prospects of shifting to Blockchain based data management so what you are asking is surely achievable. ICICI Bank has partnered with Infoysis Finacle and currently developing first of its kind blockchain based network for international remittance and trade finance.

[Abiky]

It isn't necessary that some big giants like Ripple have to step up and provide blockchain services to Banks. Blockchain Technology is open-source and anyone can use and develop something out of it. It is quite handy for banking services as financial data can instantaneously remit over blockchain saving banks million of dollars.
In India, banks like ICICI Bank have already starting working on it and have future prospects of shifting to Blockchain based data management so what you are asking is surely achievable. ICICI Bank has partnered with Infoysis Finacle and currently developing first of its kind blockchain based network for international remittance and trade finance.

That's certainly true, mate. Since Blockchain technology is open source, Banks are free to do as they wish with it. They could either join an existing infrastructure like Ripple, or simply form a Blockchain of their own. Both sides have their respective advantages/disadvantages in which Banks have to keep in mind when adopting this emerging technology. If they decide to join Ripple or another Blockchain-based company, they'd gain better exposure towards mainstream finance. But, if they create their own private Blockchain, they would have the ability to control transaction activity at their hearts content.

Things aside, the current SWIFT system used by many Banks worldwide is known to be obsolete. It could survive for a couple of years from now, but it would need to embrace the Blockchain one way or the other. Otherwise, it'll be the end of SWIFT as we know it.

Nonetheless, it's expected that Banks' adoption of Blockchain grows tenfold within a couple of years from now. Once this happens, then our world's economy would improve in many ways that were never thought possible. Just my thoughts

[Cat Coin]

Blockchain technology is the future. And all the structures of the state, banking and other institutions are sure to move to the new system. It's gonna take some time. Banks will be very difficult to resist, so they deal with virtual money. You can't send air. So now the banks are deciding how to issue loans.

[jouns]

I have no doubt that in the near future the payment system will switch to the blockchain, the banks have already experienced it and found it much more convenient than SWIFT, but most likely this system will be completely centralized and very different from the existing platforms like stellar and XRP.

[ricardobs]

Hmmm… what you're saying is the truth. But I don't really think that banks are going to make use of these altcoins you have mentioned. What they might do is try to build something similar to them that they will be in full control of and that might then serves as a replacement for SWIFT. But we never know yet, or they can still do an upgrade that will help them continue with their current system. We just don't know anything yet.

[boty]

I think that the blockchain system is better than the swift system used by banks now. Maybe someday this swift system will be replaced by the blockchain system. Indeed the banking world that is expected now is a bank that can cover all banks internationally. Therefore, we no longer need to exchange the money we have with the fiat currency of the country we want to visit. Of course the right thing to accommodate this condition is the blockchain system.

[Deallove9]

Blockchain will be the best to represent the swift using by banks which will do more or less file keeping and untraceable transaction with a fast and life record .

Banks are still coming back to block chain only that they are trying to tackle crypto as a means of money to not be money which I think is an issue for them on the side of centralized.