PayPal developers launch cryptocurrency analog of SWIFT

Fintech startup Six Clovers, founded by PayPal developers, has launched the Versal network on the Sui blockchain. This is reported by The Block.

Versal combines blockchain technology with fiat infrastructures to enable faster and more secure international payments. The Six Clovers API allows the Versal network to be integrated into stacks, making payments in cryptocurrency and CBDC in real time.

According to Six Clovers CEO Jim Nguyen, Versal will bridge the gap between Web2 and Web3 by «abstracting the blockchain and making the infrastructure invisible to customers.»

Similar to the SWIFT payment system in traditional finance, Versal will provide users with a modern payment infrastructure while maintaining regulatory compliance and transaction confidentiality. However, unlike the classic system, this solution operates around the clock and without intermediaries.

Greg Siorounis, the project administrator of the Sui Foundation, said that Versal will be able to seamlessly integrate blockchain payments into corporate applications. Moreover, blockchain offers infinite scalability, which is «ideal for the next generation Web3 payment network.»

Last fall, SWIFT began exploring ways to use blockchain for its service. As part of an experiment with fintech companies Symbiont, Vanguard, Northern Trust, and Citigroup, SWIFT tested the blockchain’s functionality in informing about important corporate events such as dividend payments.

A few months later, banks from around the world began testing the transfer of digital national currencies via SWIFT. The experiment involved French BNP Paribas, Italian Intesa Sanpaolo, British Standard Chartered (STAN), as well as the Central Banks of France and Singapore. The project has already completed the first stage of testing, and the next step is to evaluate trade finance and securities settlement.