SWIFT's Blockchain Dilemma: Legacy Systems vs. Decentralized Payments?

Generated by AI AgentCoin World
Thursday, Sep 25, 2025 4:14 pm ET1min read
XRP
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HBAR
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LINK
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Aime RobotAime Summary

- SWIFT tests XRP and HBAR for blockchain cross-border payments under ISO 20022, but denies formal Ripple partnership.

- SWIFT's CIO rejects XRP as SWIFT replacement, citing governance gaps in public blockchains and 2025 ISO 20022 migration deadline.

- XRP/HBAR prices fall amid regulatory uncertainty (SEC lawsuit ongoing) and SWIFT-Chainlink interoperability collaboration.

- Analysts warn ISO 20022 prioritization could weaken XRP demand, though Ripple's institutional partnerships show real-time remittance utility.

Source: [1] SWIFT is testing

XRP
and
HBAR
for blockchain-based cross-border payments to boost efficiency and interoperability. The global payments giant is evaluating Ripple’s XRP Ledger and Hedera’s Hashgraph (HBAR) under the ISO 20022 standard, aiming to streamline cross-border transactions. While SWIFT processes $150 trillion annually, it has not confirmed a definitive partnership with Ripple, emphasizing exploration over adoption.

[2] SWIFT’s Chief Innovation Officer, Tom Zschach, dismissed claims that XRP could replace SWIFT, arguing that neutrality in finance requires trusted governance, regulatory alignment, and dispute resolution mechanisms. He highlighted that public blockchains like XRP lack the institutional safeguards needed for global markets.

[3] The ISO 20022 migration deadline for cross-border payments is set for November 2025, with SWIFT asserting it will not be delayed. This transition could reshape how institutions handle transactions, though XRP is not ISO 20022 compliant. Ripple’s CEO, Brad Garlinghouse, has projected XRP could capture 14% of SWIFT’s liquidity by 2030, but analysts note this remains speculative.

[4] Market reactions to SWIFT’s trials have been muted. XRP traded at $2.88 as of late 2025, down 0.67%, while HBAR declined 1.14%. A recent fact-check debunked viral claims of SWIFT approving XRP for all cross-border payments, noting no formal agreement exists.

[5] Regulatory uncertainty persists, with the SEC’s lawsuit against Ripple still in appeals. A partial resolution in 2025 required a $125 million penalty, but the case remains unresolved. This legal ambiguity has deterred institutional adoption, exacerbating market volatility.

[6] Analysts warn that if SWIFT prioritizes ISO 20022 compliance over XRP integration, demand for the token could wane. For instance, if only 1% of SWIFT’s $150 trillion volume shifted to XRP, it would generate $1.5 trillion in demand. Conversely, failure to secure institutional buy-in could trigger a sell-off, particularly if regulatory hurdles persist.

[7] Ripple’s institutional partnerships, such as with UnionBank and ChinaBank, demonstrate XRP’s utility in real-time remittances. However, SWIFT’s recent collaboration with

Chainlink
to enhance blockchain interoperability signals a competitive response. This rivalry underscores the broader tension between legacy systems and decentralized alternatives.

Source: [1] title1 (https://www.cryptopolitan.com/swift-testing-xrp-hbar-blockchain-payments/)

[2] title2 (https://www.ccn.com/news/crypto/swifts-ripple-trial-turn-xrp-backbone-global-payments/)

[3] title3 (https://timestabloid.com/swift-directly-makes-this-major-confirmation-heres-what-it-means-for-xrp/)

[4] title4 (https://coinpedia.org/news/fact-check-is-swift-teaming-up-with-ripple-for-xrp-payments/)

[5] title5 (https://www.ccn.com/education/crypto/ripple-xrp-odl-tokenization-real-world-utility-explained/)

[7] title7 (https://thecurrencyanalytics.com/altcoins/ripple-vs-swift-how-xrp-is-transforming-global-payments-and-eyeing-14-market-share-186791/)

[10] title10 (https://www.coin-views.com/2025/07/ripples-xrp-targets-swift-global.html)