IBM Connects 17 Banks to SWIFT Ledger via Digital Asset's ISO 20022 Adapter
Digital Asset's Haven adapter carries tokenized-deposit instructions over SWIFT, while final settlement continues to run through existing systems.
IBM has linked 17 banks to SWIFT's ledger, according to a CryptoSlate report, using an adapter built by Digital Asset's Haven that supports the ISO 20022 messaging standard. The connection is designed to carry instructions for tokenized deposits between participating institutions.
Instructions move, settlement does not
The adapter's role is limited to instructions rather than final settlement. According to the report, tokenized-deposit transfers are messaged through the new link, but the actual settlement of those transactions remains with the existing banking systems already in use.
The same report notes that concerns about cloud infrastructure risk have not been resolved by the arrangement, without detailing specific exposures.
Efforts to connect tokenized deposits to established interbank messaging have grown as banks look for ways to test distributed ledger tools without replacing core settlement rails. ISO 20022 is the messaging standard that financial institutions have been migrating toward for cross-border payments.