Federal Reserve Will Work With China’s Cypherium For Instant Payments

The Federal Reserve will work with China’s Cypherium as the blockchain company featured in the FedNow Service Provider showcase in order to bring instant payments so let’s find out more in today’s latest blockchain news.

The US Federal Reserve will work with Cypherium to bring its real-time payment project FedNow Service as it started experimenting with the blockchain infrastructure. The FED launched the provider and aims to provide financial institutions and users with a range of services to help them implement the service which will launch in 2023.

The showcase includes 70 profiles and service providers which support instant payments like a New york-based blockchain company that will focus on instant payment solutions, interoperability, and CBDCs. The platform is known for being involved in Chinese blockchain projects as well but also for developing the blockchain infrastructure of Suzhou City Municipal. Other providers in the showcase include services like BNY Mellon Immediate Payments, Mastercard track business payment services, and more. The CEO of Cypherium Sky Guo said:

“We are the only blockchain company selected so far. We will provide a digital wallet for users to access FedNow services, enabling FedNow to interact with other payment systems like RTGS, blockchains, payment solution providers, and others.”

He also added that consumers will be able to use Cypherium’s digital wallet or blockchain technology as a part of the FedNow project. FedNow business executive Nick Stanescu noted that Cypherium’s participation in the project will help organizations to identify and to connect with the partners that they will need to build end-to-end solutions if the market demands it. The US FED board initially wanted to launch the project in 2019 and had a goal to permit US banks to provide real-time payments to their customers by 2023.

Apart from FedNow, Cypherium has been a member of the US Faster Payments Council and to provided a global inclusive payments system. According to the Cypherium CEO, another participant in the FCP is the blockchain payment firm Ripple.

As recently reported, Jerome Powell, the US Federal Reserve head said that state-backed digital assets and CBDCs can function hand in hand alongside fiat money in the next few years according to the Bloomberg reports. Powell made comments in a prerecorded video during a payments conference in Basel, Switzerland as there’s a bigger institutional push for crypto-assets and BTC in recent times.