SWIFT tests Ethereum L2 for tokenized finance messaging
SWIFT, the global interbank messaging network, is testing blockchain-based infrastructure on the Ethereum Layer 2 network Linea to support tokenized asset flows and cross-ledger transactions.
SWIFT is working with several major banks to trial a blockchain version of its messaging system on Linea. Institutions, including BNP Paribas and BNY Mellon, are participating in the pilot program.
For now, project remains in early stages and will take several months to advance into production, according to sources involved. SWIFT announced plans in 2024 to support token transactions over its network in collaboration with financial firms.
The organization previously collaborated with Chainlink and over a dozen banks to test tokenized asset transfers across multiple blockchains using its existing infrastructure as a central access point. SWIFT has indicated that integrating blockchain components is more practical in the near term than unifying central bank digital currencies or token systems into a single ledger.
For now, project remains in early stages and will take several months to advance into production, according to sources involved. SWIFT announced plans in 2024 to support token transactions over its network in collaboration with financial firms.
The organization previously collaborated with Chainlink and over a dozen banks to test tokenized asset transfers across multiple blockchains using its existing infrastructure as a central access point. SWIFT has indicated that integrating blockchain components is more practical in the near term than unifying central bank digital currencies or token systems into a single ledger.
Linea operates as a zkEVM-compatible Layer 2 network, combining zero-knowledge proofs with Ethereum scaling capabilities. The technology allows contracts to execute on a secondary layer with periodic commitments to Ethereum's mainnet.
An internal source described the project as a "technological transformation for the international interbank payments industry." SWIFT stated its experiments "demonstrate clearly" that its established infrastructure can serve as a single gateway to multiple blockchains, offering reduced operational complexity.
SWIFT provides secure messaging between more than 11,500 financial institutions globally. The network does not move funds directly but maintains communication standards for international banking transactions.
The blockchain trials aim to connect existing banking systems with distributed ledger technology. SWIFT's strategy focuses on enabling interoperability across legacy and blockchain systems rather than replacing its established architecture.
The organization handles messaging for trillions of dollars in daily transactions across its member institutions. Testing blockchain integration represents an effort to adapt its infrastructure for tokenized assets and digital finance applications.
SWIFT has not disclosed specific timelines for moving the Linea pilot into production or which additional banks may join the testing phase. The project continues as part of broader industry efforts to integrate traditional finance with blockchain technology.
An internal source described the project as a "technological transformation for the international interbank payments industry." SWIFT stated its experiments "demonstrate clearly" that its established infrastructure can serve as a single gateway to multiple blockchains, offering reduced operational complexity.
SWIFT provides secure messaging between more than 11,500 financial institutions globally. The network does not move funds directly but maintains communication standards for international banking transactions.
The blockchain trials aim to connect existing banking systems with distributed ledger technology. SWIFT's strategy focuses on enabling interoperability across legacy and blockchain systems rather than replacing its established architecture.
The organization handles messaging for trillions of dollars in daily transactions across its member institutions. Testing blockchain integration represents an effort to adapt its infrastructure for tokenized assets and digital finance applications.
SWIFT has not disclosed specific timelines for moving the Linea pilot into production or which additional banks may join the testing phase. The project continues as part of broader industry efforts to integrate traditional finance with blockchain technology.
Author
Sebile Fane cut her teeth in blockchain by building tiny NFT experiments with friends in her living room, long before the buzzwords took hold. She’s driven by a curiosity for the human stories behind smart contracts — whether it’s a small-town artist minting her first token or a DAO voting on climate grants — and weaves technical insight with genuine empathy.
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