Looks like the #ISO20022 cryptocurrency narrative is popping up again.
I see a lot of misconceptions around this, so hope this thread brings some clarity on what ISO 20022 means exactly ๐งต๐
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I see a lot of misconceptions around this, so hope this thread brings some clarity on what ISO 20022 means exactly ๐งต๐
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ISO 20022 is a global standard for financial messaging that aims to create a common language and syntax for exchanging financial information.
It covers everything from payments and securities to trade finance and foreign exchange.
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It covers everything from payments and securities to trade finance and foreign exchange.
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It is NOT a protocol or a technology. It's a messaging standard that defines the structure, content, and processing rules for financial messages.
It's used by banks, financial institutions, and corporations to communicate with each other.
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It's used by banks, financial institutions, and corporations to communicate with each other.
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ISO 20022 is designed to improve interoperability, efficiency, and compliance in financial messaging.
It provides a standardized way of exchanging information that reduces errors, increases automation, and lowers costs
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It provides a standardized way of exchanging information that reduces errors, increases automation, and lowers costs
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It does not dictate the underlying technology or infrastructure used to process financial messages!
It's agnostic to the protocol or network that is used to transmit the messages.
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It's agnostic to the protocol or network that is used to transmit the messages.
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There is no such thing as officially being ISO 20022 compliant. It's just about implementing the messaging standard so a system "understands" these financial messages.
iso20022.org/faq
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iso20022.org/faq
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A cryptocurrency token itself like $XRP, $XLM, $DAG, $COTI, etc.. is not ISO 20022 "compliant".
The underlying DLT protocol however can be used to exchange ISO 20022 messages between financial apps/organizations that are connected on the network.
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The underlying DLT protocol however can be used to exchange ISO 20022 messages between financial apps/organizations that are connected on the network.
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Web 3 companies in the financial space (like $XRP, $XLM, $COTI) could build custom products on top of their DLT infrastructure to facilitate the exchange of ISO 20022 messages between financial institutions and enterprises.
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Or a network like $DAG can be leveraged to build financial (private) networks & apps that use the ISO 20022 standard, since $DAG is capable of registering and exchanging any datatype ๐๐ฅ
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Hope you enjoyed this thread and happy to hear your thoughts on this.
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