The Federal Reserve of the United States has begun experimenting with blockchain infrastructure as part of its real-time payment initiative FedNow Service.
The Fed formally opened the FedNow Service Provider Showcase on Tuesday, with the goal of providing financial institutions and users with a variety of services to assist them in implementing the FedNow Service, which will begin in 2023. The showcase now has over 70 profiles and service providers that support fast payments, including a New York-based blockchain firm focused on instant payment solutions, blockchain interoperability, and central bank digital currencies (CBDC).
The platform is well-known in China for its involvement in blockchain projects, including Suzhou City Municipal’s development of blockchain infrastructure. BNY Mellon Immediate Payments, Mastercard Track Business Payment Service, and ePayments are among the other suppliers featured in the presentation.
“We are the only blockchain firm picked so far,” Cypherium CEO Sky Guo said, adding that as part of the FedNow payment project, consumers would be able to use Cypherium’s digital wallet or blockchain technology. He also mentioned that Cypherium’s technology will allow for interoperability with different payment systems. “We will offer consumers a digital wallet through which they may access FedNow services, allowing FedNow to engage with various payment systems such as RTGS, blockchains, payment solution providers, and others”, said Guo. Cypherium’s participation in the project, according to FedNow business executive Nick Stanescu, will assist “organisations find and connect with partners they’ll need to construct the end-to-end solutions the market is expecting.”
As previously reported by Cointelegraph, the Federal Reserve Board of the United States revealed intentions to release FedNow in 2019, with the objective of allowing all US banks to offer real-time payments to their customers by 2023.
Apart from FedNow, Cypherium has been a member of the United States Faster Payments Council (FPC) since 2019, an organisation dedicated to establishing a global inclusive payment system. The only other blockchain-related partner in the FPC, according to Cypherium CEO, is blockchain payment business Ripple.
