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Global Banking Giant SWIFT Ignites Mainstream Adoption With Ethereum Stablecoin Payment Test

SWIFT, the backbone of global financial messaging, has begun testing on-chain payments and messaging using Ethereum’s Layer 2 network Linea, in a move that signals deeper integration between traditional finance and blockchain.

According to the report, the project involves more than a dozen global banks, including BNP Paribas and BNY Mellon, and is exploring the use of a stablecoin-like token for settlement.

The trial marks a significant step for SWIFT, which connects over 11,000 financial institutions and processes billions of messages annually.

Traditionally, SWIFT has functioned as a secure messaging service that transmits payment instructions between banks.

Initial tests seek to focus on on-chain messaging and settlement functions, with the interbank stablecoin token serving as a model for how financial institutions could settle transactions directly on blockchain infrastructure.

Swift reportedly picks Linea for multi-month interbank messaging system transition

According to the report, more than a dozen banks will participate in the trial, including BNP Paribas and BNY Mellon.

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

Swift has chosen Consensys-developed Linea to pilot its transition from traditional interbank messaging to blockchain-based communications, according to a Sept. 26 report by The Big Whale.

A source familiar with the matter said the global banking consortium selected the Ethereum layer-2 network after months of negotiations to test how interbank on-chain messaging can replace its current centralized infrastructure.

More than a dozen banks will participate in the trial, including BNP Paribas and BNY Mellon, with the pilot examining both messaging transitions and the integration of stablecoins.

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