Fnality International Expands Blockchain-Based Payment System To Include U.S. Dollar

Fnality International, a London-based fintech with backing from major financial institutions including UBS and Goldman Sachs, is gearing up to broaden its blockchain-based payment system by incorporating the U.S. dollar. The move comes following the successful launch of the company's sterling payment system in December 2023, attracting users such as Lloyds, Santander, and UBS.

Fnality aims to bridge the gap between traditional and digital finance, seeking to streamline the settlement process, collateral management, and payment procedures for financial market transactions. The expansion to include the U.S. dollar underscores the company's commitment to providing a comprehensive blockchain solution for global financial markets.

According to Rhomaios Ram, CEO of Fnality, the company has thus far focused on sterling blockchain payments, but the imminent plan is to extend its capabilities to the U.S. market. Ram stated, "Among all the international markets, we are leaning towards the U.S. first. That’s our first priority. We are in the process of discussing our application with the Federal Reserve."

In November 2023, the company successfully raised $95 million in a series B funding round led by Goldman Sachs and BNP Paribas, highlighting the strong support and confidence from key players in the financial services sector.

"All of our shareholders have businesses in the U.S. They want to use this blockchain-based system for dollar transactions as well," Ram emphasized, underlining the shared interest among stakeholders in extending Fnality's blockchain capabilities to the U.S. dollar.

While the U.S. market takes precedence, Fnality's global vision includes plans for expansion into Europe, as well as future inclusion of Japan and Canada. The company's strategic move aligns with the growing adoption of blockchain technology in the institutional financial services sector, with major banks like Goldman Sachs, UBS, and JPMorgan showing increasing interest and investment in blockchain initiatives.

Mathew McDermott, Global Head of Digital Assets at Goldman Sachs, commended Fnality's application of blockchain technology, describing it as a resilient solution for institutions to utilize central bank funds across various use cases. McDermott noted the potential for instantaneous, cross-border, cross-currency payments, collateral mobility, and security transactions.

As blockchain technology continues to gain traction in the financial services sector, Fnality International's expansion to include the U.S. dollar reinforces its position as a key player in driving innovation and efficiency within global financial markets.