According to head of IBM Blockchain development solutions Jesse Lund, this tech giant company is ready to announce its world wide wire platform. The platform will be using the Stellar protocol in order to power cross-border payments.
The head of IBM Jesse Lund explained in a report, that banks are very interested in the utilization of stablecoins, which are a form of cryptocurrencies that are designed to maintain stable prices between fiat currency measurements.
This is in order to move money more effectively move across the world and not really focused on future growth.
Compared to traditional money moving around on legacy systems, this strategy gets rid of the need for clearing houses, together with various intermediaries. This means that these cryptocurrency payments can be settled much faster and more cheaply.
A statement from the company stated;
“We’re really feeling excited that we’re on a roll to build something new and revolutionary that’s really going to change the landscape of cross-border payments.”
Jesse also stated that:
“I can confirm that we’re going to be talking about more than a few banks around the world who are very interested and see tremendous business benefits to issue stablecoins in their native fiat currency. And that only creates a better ecosystem for participants on the World Wire network.”
These Tech giants have been trying to appeal to mobile users on the move for a long time now. IBM is not the only incumbent trying to harness these emerging market solutions in order to revolutionize the banking industry.
JPMorgan coin and the IMB World Wire
JP Morgan became the first major bank in the US to create its own digital asset (JPM Coin) after more than a decade of this technology being around. This JPM Coin is designed to power networks for setting up payments between lenders and it clients utilizing the blockchain technology.
As Dimon mentioned:
“JPMorgan Coin could be internal, could be commercial, it could one day be consumer.”
IBM was asked on how different the IBM World Wire would be from the JPM Coin, and they outlined that one of the key distinctions between JPM’s Model of exclusion and IBM model will be:
“It’s not a proprietary solution like JPM Coin’s solution, although i think what they’re doing makes a lot of sense for them. What JPM is doing also, i think adds tremendous validation to what we’re doing. But our view World Wire seeks to do is provide fungibility of digital assets across financial institutions. So i think that’s really going to be the game changer in the future.”
Lund and Jed McCaleb, the co-founders of Stellar, will be giving a presentation on digital assets and banking at the upcoming Money20/20 conference in Singapore on March the 19th.
IBM will also be making an “exclusive product announcement” during the event, whether this will be related to the blockchain technology still remains to be confirmed.