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New Digital Payment Network Promises To Make Cross-Border Transactions Faster, Cheaper

Published 23/10/2023, 20:17
© Reuters.  New Digital Payment Network Promises To Make Cross-Border Transactions Faster, Cheaper
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Benzinga - Standard Chartered Bank's (OTC: SCBFF) SC Ventures and Deutsche Bank (NYSE: DB) have successfully conducted a Universal Digital Payments Network (UDPN) proof-of-concept, facilitating real-time transactions between USD Coin (CRYPTO: USDC) and EURS stablecoins.

In this initiative, SC Ventures utilized the UDPN development tools to initiate digital transfers to Deutsche Bank's wallets, which were tracked on EtherScan, Financial Express reported.

Similarly, Deutsche Bank reciprocated by transferring funds to SC Ventures.

Their combined effort is the first of 12 proof-of-concepts designed to demonstrate UDPN's potential in resolving cross-border payment challenges.

This endeavor also provided insights into the Central Bank Digital Currency (CBDC), digital assets, and various other sectors.

Such insights are set to play a crucial role at forums like the Benzinga's Future of Digital Assets conference on Nov. 14, where the future of digital currencies will be a central topic of discussion.

Introduced earlier this year, the UDPN is a distributed ledger technology system that ensures smooth interactions between regulated stablecoins, CBDCs, and business IT systems.

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The network's inception saw contributions from global IT engineering provider GFT, decentralized cloud firm Red Date Technology, and top-tier financial service providers.

The overarching aim of the UDPN Alliance is to transition from traditional, cumbersome payment infrastructures to streamlined, cost-effective digital payment solutions.

Following its prototype's success, the UDPN sandbox was unveiled in July 2022, providing a platform to explore diverse use cases in a regulated setting.

Thorsten Neumann, CTO of SC Ventures, said, "Tokenized currency is bound to reshape the financial landscape. The industry's convergence through the UDPN platform paves the way for innovative digital currency use cases."

Similarly, Rafael Otero from Deutsche’s Corporate Bank division noted, "UDPN offers Deutsche Bank an avenue to delve into the decentralized global economy's possibilities, marking a pivotal shift in financial transaction dynamics."

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Join Benzinga's Fintech Deal Day & Awards on Nov. 13 and Future of Digital Assets on Nov. 14 in New York City to stay updated on trends like AI, regulations, SEC actions and institutional adoption in the crypto space. Secure early bird discounted tickets now!

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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