According to SWIFT that is the World Society for interbank operations and telecommunications, which mainly deals with managing the various transactions between banking institutions, cryptocurrencies are neither stable nor useful. The company's statements were taken during a meeting held in London, where a company representative released a report statement to local newspapers.
According to the SWIFT representative: the value of cryptocurrencies tends to rise and fall as if they were yo-yo, which is why they are unstable and useless. And even if some companies operating in the sector, through the stablecoin, manage to make them more stable, they can do it only by settling on a set of traditional currencies.
xRapid not a threat to SWIFT
Also during the interview, the representative spoke about the SWIFT network stating that at the moment this is able to connect 11 banking institutions and financial institutions around the world, despite this has some undeniable defect. In fact, even if the network can process millions of transactions daily, the timing still remain a problem for SWIFT.
In fact, if you send a SWIFT payment from Australia to China once past noon, automatically there is a delay of approximately 12 hours in sending and receiving the transaction, due to the relative opening hours of the banking institutions.
Nevertheless, SWIFT claims not to consider the new one payment solution made by Ripple, xRapid, a threat to your business, although this technology allows you to complete transactions almost instantly and without excessive delays.
SWIFT: Libra will be a competitor only in the short term
According to SWIFT, Libra is not a long-term company rival. Indeed, the Facebook cryptocurrency, which will be integrated into its three main applications in the near future, will have an enormous initial visibility, but SWIFT does not fear comparison, since according to the opinion of one of its representatives, this will see a more significant impact only in the short term.