Bank of America and Ripple Partner to Bridge SWIFT Payments

Ripple and Bank of America are exploring a hybrid cross-border payment system that combines traditional messaging networks like SWIFT with blockchain-based rails for speed, liquidity, and efficiency. This hybrid model uses SWIFT for secure messaging and compliance, while blockchain systems like RippleNet handle faster value transfer and reduce reliance on pre-funded accounts. Ongoing experimentation and pilot programs do not confirm large-scale deployment of XRP in Bank of America's core payment rails.

Bank of America is advancing its cross-border payment capabilities with the launch of a real-time payments solution expected to debut in the coming quarter. This service will enable corporate, commercial, and financial institution clients to send and receive funds instantly via SWIFT or the bank’s CashPro® platform. The offering is designed to support high-volume, low-value transactions such as person-to-person (P2P) and business-to-consumer (B2C) payments, which are projected to grow by 58% and 131%, respectively, by 2032. The solution aligns with the G20 cross-border payment objectives, emphasizing faster, more transparent, and cost-effective international transfers.

The new service will leverage existing real-time payment networks, including SPEI in Mexico, the Faster Payments Service in the United Kingdom, and India’s Unified Payments Interface. This integration allows for real-time tracking, full-principal delivery, and reduced settlement times, while minimizing the need for intermediary banks. Corporate clients will also benefit from seamless connectivity through SWIFT or CashPro, with options for API or host-to-host integration, reducing technical complexity and enabling rapid adoption.

In parallel, Ripple and Bank of America are exploring a hybrid cross-border payment model that combines SWIFT’s messaging infrastructure with blockchain-based rails for faster value transfer and improved liquidity. This approach would use SWIFT for secure messaging and compliance while leveraging RippleNet or similar blockchain systems to facilitate instant settlements and reduce reliance on pre-funded nostro/vostro accounts. While ongoing pilot programs and experiments are underway, no large-scale deployment has been confirmed of XRP or other digital assets in Bank of America’s core payment infrastructure.

Ripple’s technology, including the XRP Ledger and stablecoin solutions, has already been adopted by over 300 financial institutions globally. These systems offer low-cost, high-speed transactions and are being explored by central banks for potential use in cross-border settlements and CBDCs. Ripple’s approach aims to streamline international payments by reducing intermediary costs and settlement delays, offering a compelling alternative to traditional correspondent banking models.

As global cross-border payment volumes continue to rise, financial institutions are increasingly seeking solutions that balance speed, cost, and regulatory compliance. Bank of America’s new real-time payments offering and its exploration of hybrid payment models reflect broader industry trends toward innovation and efficiency in international financial services.