Global: SWIFT Advances Blockchain-Based Shared Ledger for 24/7 Cross-Border Payments

SWIFT has commenced development of the first iteration of its blockchain-based shared ledger, marking a significant step toward enabling interoperability between banks’ tokenised deposits and supporting real-time, 24/7 cross-border payments.

Following its initial announcement in September 2025, the initiative has progressed through a collaborative design phase involving a global network of financial institutions. With this phase now completed, SWIFT plans to launch a minimum viable product (MVP) capable of processing real-world transactions before the end of the year.

The shared ledger introduces a digital orchestration layer built on existing SWIFT infrastructure and standards. This layer is designed to record, validate, and coordinate interbank payment commitments, enhancing regulatory compliance, regulatory reporting, and transaction transparency across the financial ecosystem.

According to SWIFT, the platform enables payments using tokenised deposits as a representation of value, while maintaining alignment with existing compliance management systems and financial compliance frameworks. It also supports multiple settlement options, ensuring flexibility and seamless integration with current banking operations.

The MVP is being developed on open-source architecture, leveraging an Ethereum Virtual Machine (EVM)-compatible framework powered by Hyperledger Besu. SWIFT will oversee the operation of the ledger, including transaction orchestration, validation of funding commitments, and coordination of interbank processes.

Participating banks will maintain control over their respective systems, including asset custody, cryptographic keys, and settlement mechanisms. Transactions will continue to be finalised through established channels such as real-time gross settlement (RTGS) systems and correspondent banking networks, ensuring adherence to existing regulatory requirements and internal controls.

The introduction of a blockchain-based shared ledger is expected to strengthen risk mitigation, improve fraud detection, and enhance compliance monitoring tools across cross-border payment systems. It also reflects broader RegTech innovations aimed at modernising financial infrastructure while maintaining trust and resilience.

Speaking on the development, SWIFT’s Head of Ledger Strategy, Jonathan Ehrenfeld, noted that the initiative is designed to integrate digital finance capabilities into the existing ecosystem without disrupting core operations.

“Adding a blockchain-based ledger to our infrastructure will bring the benefits of digital finance into the ecosystem seamlessly and safely, at scale, without compromising the trust and resilience that underpin global finance,” he said.

The move underscores the growing convergence between traditional financial systems and distributed ledger technologies, as institutions adopt compliance automation, regulatory intelligence, and advanced RegTech solutions to enhance efficiency and transparency.

As the MVP moves toward live deployment, the initiative is expected to play a pivotal role in shaping the future of cross-border payments, reinforcing the importance of scalable regulatory compliance frameworks in an increasingly digitised global financial system.