Swift – Interbank Financial Communications Associations around the world – is planning to build the recently announced blockchain payment payment platform on Ethereum Layer 2 Linea.
On Monday, Swift revealed that it tapped Consency and more than 30 Tradfi institutions to build infrastructure for its 24/7 real-time crypto payments system, but did not see which chains would be built despite extensive speculation that it would become Linea.
However, Lubin confirmed his Linea selection in a fireside chat with Cointelegraph’s Gareth Jenkinson at the Token2049 conference in Singapore on Thursday.
Lubin said during the announcement to Swift’s banking division that Swift CEO Javier Pérez-Tasso did not mention Linea by name. Rubin said Swift had to “soft roll out” the “big news,” but that was taken quite positively.
“I think my emotion was, “Thank you for doing this.” Rubin said.
Developed by Consensys, Linea is a scaling-centric layer 2 that leverages ZK-EVM rollup technology to process around 1.5 transactions at a cost of 1/15 of Ethereum.
The total value worth $2.27 billion is locked. This is the fourth largest of Ethereum Layer 2, tracking only the arbitrum One, the base chain and the OP mainnet.
Swift’s entry into the blockchain payments space could be massive as it processes around $150 trillion worth of global payments each year.
Some of the biggest banks are involved
Bank of America, Citi, Jpmorgan Chase and Toronto-Dominion Bank are among the Tradfi companies that are planning to take part in a trial of Linea’s Swift’s new blockchain payment rails.
It could bring serious competitors to Ripple’s XRP ledger, one of the few well-known blockchain-based payment systems tailored to banks.
Swift’s move to build blockchain payment rails has been anticipated for some time, benefiting from internships near the blockchain, a 24/7 settlement without intermediaries, reducing costs, errors and delays.
Linea could enable “user-generated civilizations,” says Lubin.
Lubin highlighted Linea’s broader possibilities beyond payments, describing it as a platform that allows you to “create content in a user-generated way.”
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Lubin explains that by leveraging Ethereum’s untrusted settlement layer, Linea allows the community to build infrastructure, rules and apps from the bottom up.
Decentralized autonomous organizations are already trying to run entities without centralized leadership, often managing the Ministry of Finance and implementing smart contracts and decentralized voting systems to make decisions. However, so far few DAOs have achieved massive success.
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