The test involved a complete deployment of an Adhara’s liquidity hub and a digital payments hub modeling a banking group with a variety of branches in different locations, including Mexico and New York as branches and London as the group (internal) liquidity hub. Fnality accounts in the GBP and USD Fnality test instances were opened both for the London branch of the banking group and for external banks with presence in London and in Singapore.
A GBP payment was submitted from a corporate client’s GBP account of the London bank and received by the New York branch of the banking group implementing the hub, crediting the funds into the GBP account of the receiving corporate client out of NY’s operating hours.
Cross currency flows were also tested, including a payment starting from a MXN account of a corporate client of the Mexico branch of the banking group and finalizing in SGD account of a corporate clients of an external counterpart bank in Singapore. In this particular case the Mexico branch internally settled in USD with the NY branch through the banking group’s internal USD tokenized liquidity hub, and the NY branch settled on behalf of the banking group with the Singapore bank through FN USD.
The test demonstrated how Adhara’s tokenised liquidity hubs and digital payments hubs can easily interoperate with Fnality payments systems, as they are fully compatible given both Adhara’s commercial bank tokenised liquidity facilities and Fnality tokenised settlement cash assets are based on the same functional standards and support the same interoperability patterns, enabling atomic settlement across multiple settlement assets deployed over separate platforms.
Rhomaios Ram CEO Fnality International says, “Fnality provides a new digital cash foundation for our members to take advantage of the efficiencies promised by digital assets. Working with Adhara, we enable our members to exploit those efficiencies inter group.”
Julio Faura, Co-founder and CEO of Adhara Ltd said “Adhara’s tokenized liquidity and digital payments hubs are built with the same philosophy, architectural principles and interoperability standards as Fnality Payments Systems, and this gives our bank clients the possibility to have the best of both worlds: hubs allow them to internalize their intra-group liquidity management and settlement flows to optimize their intraday liquidity buffers and to greatly improve their corporate treasury and payments offerings towards real time, 24/7, fully transparent and instant cross currency services; and seamlessly connecting to and interoperating with Fnality systems and digital business applications that clear and settle over Fnality allows them to extend the reach to the whole Fnality wholesale market ecosystem and bring the greater benefits to their group entities and their institutional client franchises.”
Founded in 2019, Fnality is a consortium of global banks that is building a regulated payment system to support the growing industry adoption of tokenised assets and marketplaces. By using distributed ledger technology (DLT) Fnality offers central banks a simpler, faster, safer, and more resilient, risk-free system for managing digital payments. Fnality developed the Fnality Payment Systems (FnPS), a network of fully regulated DLT-based payment systems, one in each currency area, enabling its participants to settle single currency on-chain payments (P), as well as on a Delivery-versus-Payment (DvP) and a Payment-versus-Payment (PVP) basis.
The Sterling Fnality Payment System has recently been designated by HM Treasury as a systemically important payment system in the UK, signifying a crucial milestone achieved in the Fnality’s UK go live journey and meaning that the Sterling Fnality Payment System is now the first distributed ledger technology (DLT) based, fully-regulated payment system in the world.
With a global roll-out set for 2023, Fnality’s network of distributed Financial Market Infrastructures (dFMIs) will provide near-real-time 24/7 settlement capability and interoperating with other platforms, to allow banks to significantly reduce their intraday liquidity requirements.
Fnality’s shareholders comprise: Banco Santander, BNY Mellon, Barclays, CIBC, Commerzbank, Credit Suisse, Euroclear, ING, KBC Group, Lloyds Banking Group, Mizuho Bank, MUFG Bank, Nasdaq, Nomura, Sumitomo Mitsui Banking Corporation, State Street Corporation, and UBS.
For more information, please visit www.fnality.org
Adhara is a leading software company that provides real-time, multi-currency, liquidity management and international payment solutions. Adhara’s platforms deliver certainty by atomically clearing and settling tokenized fiat transactions over enterprise-grade, smart contract-enabled distributed ledgers, benefiting commercial banks, their corporate clients, central banks, exchanges and international payment. Together, Adhara’s components provide comprehensive liquidity management capabilities for payments, market making and funding solutions, helping to manage FX risk and leverage global liquidity (on a network) in real-time. Adhara has a global reach with development hubs in Spain & South Africa and business bases in the UK and Singapore. Its diverse team has decades of experience across commercial banking technology, capital markets, blockchain and product design & development – including an Engineering team with excellence in cryptography, enterprise systems and end-user app development.
For more information, please visit www.adhara.io