Earlier this year, a senior IBM official disclosed details about IBM’s new World Wire cross-border settlement solution and its significant relationship with the Stellar (XLM) blockchain.
According to IBM’s Vice President for Blockchain Solutions, Jesse Lund, the new product from the international technology company enables the precise and uncomplicated transfer of payments to anywhere in the world.
“Users will be able to send transactions to any corner of the world from anywhere in the world. This new operation should be as easy as sending an email. “
During the IBM Think 2019 Conference, held in February, the blockchain VP toyed with details while interviewing Fred Schebesta’s Daily Exchange, leaving the media guessing the full details of the new partnership between IBM and Stellar Lumens.
“I will be giving a keynote speech with my partner Jeb McCaleb (founder of Stellar) at a major event in Singapore. We talk about our special announcement, the product and what advantages are installed for everyone involved. “
The American multifunctional information technology leader IBM has announced its payment platform based on the Stellar Lumen Protocol, also known as IBM Blockchain World Wire.
Meaning of IBM Blockchain World Wire
In the world we live in today, cross-border money transfers, including wire transfers, make up a significant proportion of the global economy. According to the World Bank in 2016, migrants sent around $ 574 billion worldwide to loved ones in their home countries.
Despite these statistics, current global money transfer providers have not taken adequate steps to meet the growing demand from individuals sending their money home. Banks and financial institutions today still have inefficient processes in which many intermediaries are involved both for clearing and for processing these payment transactions.
Currently, cross-border money transfers at established financial institutions and banks are not only time-consuming, but also costly. IBM’s Stellar Lumens (XLM) -based World Wire is committed to capitalizing on the current situation and making money transfers across borders a seamless process that requires little effort from users who charge them a low, affordable fee.
What is IBM Blockchain World Wire?
IBM World-Wire, announced on March 18, is a global platform that aims to regulate financial institutions in real-time clearing and processing of cross-border settlements. The blockchain general manager at IBM, Marie Wieck, defined the new platform as follows:
“We have developed a new breed of payment platform designed to accelerate and transform money transfers and cross-border payments to enable money to be sent to the countries that need it most. By developing a platform that enables financial institutions to support multiple virtual currencies, we expect to drive financial inclusion and innovation around the world. “
IBM Blockchain World-Wire is tailor-made for efficient and easy international settlement, transfers and foreign exchange, which automatically integrates payment messages, clearing and payment of funds on a unified platform.
This platform aims to eliminate the role of banking and financial institutions as intermediaries for cross-border payment options, thus reducing transaction costs and transaction speed.
The IBM Blockchain World-Wire is being developed on Stellar’s open blockchain platform, which acts as the backbone of their cross-border payments solution. Stellar’s platform enables World Wire to cross-border payments in near real time using virtual currencies as the bridge coin. It is currently believed that transactions on this platform will take around 5 to 10 seconds.
Future of the IBM Stellar partnership after the departure of IBM’s Vice President for Blockchain Solutions, Jesse Lund
This article about @IBM CTO Stanley Yong, and the article moves into a full termination of the Stellar / IBM partnership. From what I read, that partnership is now dead. We need more articles on this. https://t.co/kvetQzxS2x
– Michael Arrington (@arrington) June 16, 2019
The future of this promising project seems to be in the air after the departure of some of the minds behind the project. In addition to Jesse leaving, news sources also announce that Stanley Young, IBM’s global lead on Central Bank Digital Currency, is also leaving.
Stanley’s departure from the company is a severe blow to the Stellar partnership and raises major concerns that World Wire’s future may have come to an end.
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