SWIFT Names Over 30 Ripple-Connected Banks in Ambitious New Payment Framework
April 1, 2024 — SWIFT, the global leader in secure financial messaging, has unveiled its most significant upgrade to retail cross-border payments in years with the launch of a new initiative called “Global Payments for Consumer Payments.” This new payment framework involves over 50 banks across more than 25 remittance corridors set to go live by mid-2026. Intriguingly, at least 30 of these participating banks maintain existing ties with Ripple, the blockchain payments company known for its XRP token and RippleNet network.
A Major Overhaul in Cross-Border Payments
SWIFT’s new framework promises to transform the cross-border retail payments experience by delivering near-instant settlement, predictable fees, and full transparency. It aims to cover key remittance corridors, including India, Pakistan, Bangladesh, China, and Thailand—five markets among the world’s top ten for remittance flow—as well as major financial hubs such as the United States, the UK, Australia, Canada, Germany, and Spain.
SWIFT notes that while 75% of its transactions typically reach destination banks within 10 minutes, around 80% of the total payment processing time is consumed in what SWIFT calls the “last mile,” where local bank infrastructure and domestic regulations slow the final delivery to recipients. This framework intends to reduce these frictions, offering end-to-end traceability and consistent fee structures.
Ripple’s Shadow Cast Over SWIFT’s New Initiative
Although SWIFT did not mention Ripple in its official announcement, the overlap between SWIFT’s participant list and Ripple’s existing ecosystem sparked considerable interest within the cryptocurrency and financial technology communities. Among the banks named by SWIFT that also have Ripple connections are Santander, HSBC, Deutsche Bank, Standard Chartered, JPMorgan, Axis Bank, and Bank Alfalah.
For many of these institutions, Ripple’s technology serves primarily as a messaging network through RippleNet rather than involving direct use of XRP. Approximately 40% of RippleNet partners deploy Ripple’s On-Demand Liquidity (ODL) solution, which uses XRP as a bridge asset for faster currency conversion. However, large banks like Santander and Deutsche Bank reportedly employ Ripple’s messaging infrastructure without transferring XRP tokens themselves.
The dual participation in both SWIFT’s upgraded payment corridors and Ripple’s network underscores the increasingly hybrid approach large banks are adopting—leveraging innovative blockchain-based solutions alongside traditional payment rails.
Bridging the Gap Between SWIFT and Ripple Through Thunes
Adding another layer of connectivity, Ripple’s partner Thunes recently enabled stablecoin payouts to all 11,500 institutions connected to the SWIFT network. This integration creates a seamless routing path where cross-border payments can be transmitted via SWIFT messaging, routed through Thunes, and then settled using Ripple’s ODL payment rails with XRP acting as the bridge asset when necessary.
This indirect link between SWIFT and Ripple broadens the potential for XRP adoption without requiring all parties along the payment chain to hold or manage the token directly.
Competition and Collaboration in the Future of Cross-Border Payments
SWIFT is also developing its own blockchain-based shared ledger intended to support real-time, 24/7 settlement capabilities independent of Ripple or any external digital asset. This parallel build-out signals SWIFT’s commitment to modernizing its infrastructure in response to competitive pressures from blockchain payment solutions.
Nonetheless, in corridors where SWIFT’s traditional network has historically experienced delays—especially emerging markets with fragmented banking infrastructure such as India-Pakistan, UAE-Philippines, and Japan-Thailand—Ripple’s existing local partnerships and ODL liquidity provide a distinct advantage. These markets could serve as the proving ground for Ripple’s technology and potentially drive greater demand for XRP usage.
Implications for XRP and Crypto Investors
For the XRP token, the impact of SWIFT’s new framework is a nuanced one. While the inclusion of Ripple-connected banks enhances Ripple’s credibility and affirms its role in the payments space, most of those banks currently use RippleNet’s messaging capabilities without involving XRP. For XRP to realize significant growth, these banks would need to expand their usage of On-Demand Liquidity, embracing XRP as a cost-saving bridge asset.
Industry watchers anticipate that the initial rollouts occurring by mid-2026 will be critical. Should banks operating on key corridors like India-Pakistan and the UAE begin routing payments through Thunes into Ripple’s ODL rails due to efficiency gains, demand for XRP could rise accordingly, influencing its market price.
Conclusion
SWIFT’s revamped retail payments framework marks a major milestone in improving global cross-border money transfers. The notable overlap with Ripple-connected institutions suggests a complex but complementary relationship between traditional financial networks and blockchain-enabled solutions. While Ripple garners broader industry validation, the token ecosystem’s commercial success will hinge upon increased adoption of XRP liquidity services within these evolving payment corridors over the next few years.
About the Author
Sam Daodu is an experienced crypto analyst specializing in blockchain technology and market trends. He writes for 24/7 Wall St. and has contributed to various leading financial and cryptocurrency publications since 2018. Sam combines deep technical knowledge with clear explanations to make crypto accessible to investors and the general public alike.