The Bank of Tokyo-Mitsubishi UFJ announced that together with six of its international banking peers it would launch a new cross-border money transfer service that runs on blockchain technology.
Bank of Tokyo-Mitsubishi UFJ has joined the Ripple’s Global Payments Steering Group (GPSG), where it will collaborate with several banks to launch a new wire transfer service that uses Ripple’s distributed ledger technology by the end of 2017. The partner banks include Standard Chartered Bank, Banco Santander, Canadian Imperial Bank of Commerce, Bank of America Merrill Lynch, Royal Bank of Scotland, and Westpac.
The Global Payments Steering Group (GPSG) is Ripple’s interbank group for blockchain-based global payments. The GPSG overseas and maintains Ripple’s payment transaction rules, formalizes Ripple’s payment system’s usage standards and supports the implementation of Ripple’s blockchain for international payments.
“We welcome MUFG, one of the largest and most advanced banks in the world, to the growing number of Ripple customers moving actual money across borders, instantly. While many others continue to play in the sandbox, we’re thrilled MUFG has joined us in our mission to revolutionize payments globally,” said Ripple CEO Brad Garlinghouse.
The new international money transfer service will not only help financial institutions to reduce costs