US payment giant Visa has launched a cross-border payment network derived from some aspects of blockchain technology, Reuters reports.
The network is called “Visa B2B Connect,” and is designed to facilitate international payments made by global financial institutions by enabling direct interbanking transactions between businesses and beneficiaries.
The network covers 30 trade channels worldwide to enable faster and cheaper cross-border payments, and is expected to expand to 90 markets by the end of 2019. It is partially based on blockchain technology, containing elements of Hyperledger, the open source (DLT) developed by a group led by the Linux Foundation.
Specifically, certain aspects of blockchain tech were reportedly used due to its capability to transfer more data on a payment than any existing payment system, global head of Visa Business Solutions Kevin PHALEN said in the report. The new network is a result of collaboration with tech global giant IBM, as well as e-payment operator Bottomline Technologies and fintech firm FIS.
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