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Oh shiaatttt! RTGS Global + Microsoft Launch Cross-border Liquidity, available to 43,300 Banks (No Blockchain or XRP)


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5 hours ago, Cambridge said:

Thank you for sharing this. I'm still trying to understand this. I have a few questions if anyone could help answer them, I would be grateful.

1) is this a new technology that doesn't require a digital asset for ODL?

2) does this make XRP completely irrelevant now?

3) without a need for a digital asset, would regulatory hurdles will be easier to navigate?

It does seem like this is a blow to Ripple. I was rooting for them. I have "lost money" on paper, but it was a risk I was willing to take. This market is very speculative and definitely high risk. 

I went through a few Odgen's presentations. It's similar to Ripplenet but not exactly the same.

1) So RTGS Global came up with proprietary software distributed on Microsoft Azure cloud servers.  Banks will have to log in to the servers and use the software, I imagine.  Bank A and Bank B want to transact, so the software verifies the liquidity for the amounts in both banks, then locks up that liquidity in to a block, one for each party and when the transaction is given the green light, the software swaps ownership of the locked up amounts, (in milliseconds) then I think writes the transaction to some ledger for regulators if they need to audit whenever.

As far as I know there's no mention of swapping into a digital asset like XRP etc, all they say is that the software swaps ownership of the currencies which are locked up in what they call blocks. How exactly they don't say nor how they verify immutability, etc etc. He says they have patents on the software so no one will know except them likely, closed source.

2) As for exchange of value, I think Ripple still has plenty going for it. RTGS Global made no mention of swapping anything except currency that the bank holds.  They don't say if they're capable of swapping other assets, like XRP can in the counterparty field.  So far they seem to only be interested in banks/central banks. They also don't mention removing correspondent banks from the system, though I don't know why you would need one if they can directly swap their "blocks of locked liquidity". Nor do they mention how they'd swap weird currency pairs that major banks might not have in their holdings, like how many US banks hold Lebanese pounds or Zimbabwe dollars on their books?

3) They only say they've been going around to banks, IMF, etc to see how regulation will work, not a lot else.

 

Personally I think there is still plenty of room for Ripplenet and XRP.  Will this system be able to transfer any or all cryptos/digital assets between banks? They make no mention of it so I can't comment.  With OCC saying banks can now custody cryptos, RTGS Global is going to NEED that, no questions asked, to compete with XRP.

That they haven't made mention of any digital assets like BTC, XRP, etc. nor the ability to swap them makes me think they haven't really thought about that, unless I'm missing something, or else they would have come out and said so in their presentations as a selling point.  Their software simply verifies the amounts are present in both banks, locks them up and then swaps ownership of the currencies, according to them. I, as a person, wouldn't be able to transact through RTGS Global, so far it's strictly bank to bank.  It's a very focused use case unless they're planning to expand down the road.

 

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For someone apparently so good at seeing through BS, I'm surprised you took this bait so quickly. They sure got you hook, line and sinker. I think that's why people suspect your motives - you did

"Available" to 43K banks, not on-boarded banks yet, or even any mention of estimates of those intending to utilize it. A key question is that of the necessary software, what's involved in it's integra

New York-Tokyo distance is 10800Km. The light will take around 72ms to go back and forth and they can do bilateral agreements in only 50ms. They found something faster than light, it's groundbreaking

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37 minutes ago, LetHerRip said:

No, aslong as there is a market I can make money on it :D

The people who are trading and "making money" seem to be angry about something, yet why if they are "making money"?.... I think they are losing on their trades and looking to blame somebody... anybody...anybody but themselves... 

 

 

music video dance GIF

Edited by EcneitapLatnem
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3 hours ago, WarChest said:

And only yesterday.

Our Christine tweeted this. Was she hinting at Ripple or Did she know about Microsoft?

 

It was then retweeted by Brad. Was he trying to make people think Lagarde was speaking about xrp? Simply disgusting. Stop creating hype Mr. Garlinghouse. 

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Hit mainstream media now:

https://www.forbes.com/sites/tomgroenfeldt/2020/09/03/real-time-cross-border-payment-innovator-could-cut-trillions-from-global-financial-friction/#5f6a2c19d3e5

Real-Time Cross-Border Payment Innovator Could Cut Trillions From Global Financial Friction

RTGS Global, founded by Nick Ogden, who started Worldpay and more recently ClearBank, is using the latest technology from Microsoft’s Azure cloud platform to enable bank-to-bank cross-border payments in near real-time — 50 milliseconds — pretty much eliminating the risk of FX exchange rate movements and Herstatt risk — the danger that the bank liable for paying its side of a transaction goes bust before the transaction is completed.

Ogden said that IMF experts briefed on the concept think it could take out up to $15 trillion in global financial friction — he had estimated $2.7 trillion.

The effect is somewhat similar to the Continuous Linked Settlement bank (CLS) which does real-time exchanges of participating currencies and uses sophisticated tools to reduce the actual cash tied up in the transactions. But that was designed for wholesale banking.

RTGS Global uses patent pending technology to identify and freeze assets at the sending and receiving bank and then authorize the transaction which takes place is 50 microseconds. As the company explains in its announcement: “Through its patent pending Liquidity Lock, Lock and Block system, RTGS Global locks available liquidity at two counterparty banks, before sending a Liquidity Block message to complete the transaction. This whole process can take just 50 milliseconds to complete, enabling real-time, bilateral settlement of funds. The result is RTGS Global, an international system that transforms the challenges of legacy correspondent banking and international banking. Settlement and counterparty credit risk become non-existent; there’s no need to pre-fund a nostro account; and 24/7/365 availability drastically improves the end customer experience dramatically improving commercial cashflows.”

“Doing a single transaction is one thing, but doing 30,0000 at the same atomic settlement in 130 currencies is another,” Ogden said. This would not have been possible even two years ago, he added.

“Two years ago you couldn’t have built RTGS — you wouldn’t have had the speed for 50 millisecond finality. It’s only now because of investment in cloud and technology that we are able to deliver,” he said. “Nobody’s done this before, going down to liquidity level and using that as the validator for the transaction. We are using effectively synthetic central bank money, so the money exists in BoE or Fed at the time of the transaction. It transforms the way high-speed international transactions can operate and de-risks it, and it delivers a multitude of benefits for businesses, consumers, banks and regulators.”

The solution doesn’t use blockchain because it isn’t fast enough, and it doesn’t use crypto. Fiat is all that’s required, said Ogden.

Ogden figures that 43,000 banks around the world could become participants in the RTGS Global network which operates on the ISO 20022 message standard. Working with Microsoft’s Azure cloud platform means that “effectively for a bank to install the RTGS system into their environment is almost as easy as if you buy a new PC you add Office 365 to it by downloading and adding your license key.”

@EcneitapLatnem tell me how you really feel reading these news moonboy, like this maybe? :D

 

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22 minutes ago, KarmaCoverage said:

Sounds like Correspondent Banking, except not going through SWIFT.

Cant do ODL like this, because the Liquidity has to already be provisioned at the destination bank and the sending bank. So those two banks would have a direct relationship.

I'm not sure many folks fully understand how the "network effect" that Ripple is building works for banks, but correspondent banking will not create the same network effect, even with 1 million banks using it. It is still a bunch of bilateral connections, rather than a hub & spoke model like XRP as a bridge currency which puts any two currencies only 2 hops away from each other.

but idk, I heard Brad G was letting everyone go at the end of the month, and they were trying to wind down RippleNet by the end of the year. Rumor has it, he is going back to Yahoo, and never really believed in Ripple anyway. Obviously Correspondent banking methods are the winner, so there is no real need for XRP or blockchains at all. BTC is also supposed to be shutting down by the end of the year, but computer manufacturers are going to start using it to replace the gold parts in their computers, so its all good.

Yeah, I didn't get the feeling they care about digital assets as they're going to be used in the next 5 to 10 years; like they're just trying to make the old system faster. Like idk if they're going around to banks saying, "Don't worry, you can keep all your convoluted banking connections, it'll just be faster." If their tech works, then it would be literal real-time swapping but what about all these "new" assets that are going to be digitized in the not-so-far-off?

Maybe that's just their game plan, do banks and that's all, but correspondent banking I think is on the way out if you can directly exchange your CBDC/token/digi-asset through XRP into something/anything else, with anyone, not just in a walled-garden network of banks. We'll see...

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18 minutes ago, XRPage said:

It was then retweeted by Brad. Was he trying to make people think Lagarde was speaking about xrp? Simple disgusting. Stop creating hype Mr. Garlinghouse. 

"Climate protection" is a direct jab at the BTC crowd as Ripple had released that infogram of the energy wasted on BTC mining and PoW, which is a fair point. In the name of efficiency, why would corporations pick the most energy-hungry competitor if there was another option that did it faster, cheaper without the energy footprint of x nuclear power plants. Have fun convincing  tree-hugger/climate-changers to use your services when they find out your solution is wasting energy just cause you can.

Ask the BTC maxis and they'll say it's for security and "de-centralization" with no answer to most of the mining occurring in China other than, "well I'm not worried about the totalitarian Chinese Communist Party." Or if they're pro-USA, they'll claim the US will build $100 of millions worth of power plants in Texas to take over twenty-x% of the mining power, neglecting the fact that they're wasting a ton of energy when there's cheaper ways to get the same outcome. Geez, if they want to waste energy they should just drill shale.

They champion "de-centralization" and dismiss UNL consensus protocol cause it's "centralized" while simultaneously looking the other way while China controls more than 50% of BTC mining pools in the world. *crickets*  :dash1:

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13 minutes ago, jetbrzzz said:

"Climate protection" is a direct jab at the BTC crowd as Ripple had released that infogram of the energy wasted on BTC mining and PoW, which is a fair point. In the name of efficiency, why would corporations pick the most energy-hungry competitor if there was another option that did it faster, cheaper without the energy footprint of x nuclear power plants. Have fun convincing  tree-hugger/climate-changers to use your services when they find out your solution is wasting energy just cause you can.

Ask the BTC maxis and they'll say it's for security and "de-centralization" with no answer to most of the mining occurring in China other than, "well I'm not worried about the totalitarian Chinese Communist Party." Or if they're pro-USA, they'll claim the US will build $100 of millions worth of power plants in Texas to take over twenty-x% of the mining power, neglecting the fact that they're wasting a ton of energy when there's cheaper ways to get the same outcome. Geez, if they want to waste energy they should just drill shale.

They champion "de-centralization" and dismiss UNL consensus protocol cause it's "centralized" while simultaneously looking the other way while China controls more than 50% of BTC mining pools in the world. *crickets*  :dash1:

Calm down. I agree she may be refering to PoW systems there but as far as I know RTGS is as energy-efficient as RippleNet (probably more efficient as it is cloud-based and participants don't keep a copy of the registry/database/ledger). 

No mention of Ripple or XRP anywhere. Brad again doing Brad-things. 

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All in all it looks like it could be an improvement to the existing systems. Looks like the article is a little buzzy and puts the cart before the horse though.

It is still a centralized solution and is lip stick on a pig. It seems like it only is set up for a very specific use case for banks; a far cry from "all the money" that XRP's use cases can be

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Just now, Flintstone said:

Well, it's an improvement on the current system...... but it's still correspondent banking. Wholesale CBDC's will be the death of correspondent banking anyways. This system should keep them treading water until then.

It will give the banks some experience, that they need to make sure all their systems can work under 24/7 Real Time operations.

Anything RTGS is likely good for RippleNet, XRPL  and the IoV. It means legacy systems & correspondent networks cant delay the digital networks. That's good.

It is the topology of the financial global correspondent banking network that is being rearranged. "Finance is getting it's internetwork".

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1 hour ago, KarmaCoverage said:

It is the topology of the financial global correspondent banking network that is being rearranged. "Finance is getting it's internetwork".

Possibly more of a topdown Intranetwork than inter?

5 hours ago, WarChest said:

And only yesterday.

Our Christine tweeted this. Was she hinting at Ripple or Did she know about Microsoft?

 

- Completed banking union and capital markets union... Unions of banks, unions of markets, unions of both and systems and ultimatly, be competitive... im not sure if this RTGS can achieve that.
 

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  • LetHerRip changed the title to Oh shiaatttt! RTGS Global + Microsoft Launch Cross-border Liquidity, available to 43,300 Banks (No Blockchain or XRP)

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