The Italian banking association is in the process of integrating all its financial institutions into an interbank system based on blockchain technology
85% of the Italian banking association (ABI) banks will use a blockchain solution to make interbank data transfers faster and more secure. This is the spunta platform (developed by Corda), which will be implemented by 55 national financial institutions to ensure “frictionless”operations.
According to Silvia Attanisio-chief of innovations at ABI – The New Spunta system will reduce the time of interbank agreements and transfers (which usually take between 30 and 50 days) to just 24 hours.
The blockchain platform, designed by Information Technology (IT) company NTT Data and operated by banking technology firm SIA, reaches the Italian financial system as part of an interbank Agreement established in May 2019. The various financial bodies of the European country agreed to establish new data standardization rules before October this year.
In the last quarter of the year, ABI plans to launch the latest phase of this innovative process and add between 25 and 45 new banks to the blockchain system. The team in charge of the system, made up of members from different banks, remarked that Spunta “significantly reduces risks” for banks, as they will not have to transfer money between them.
“If we fail in this process, the worst thing that could happen is to have a problem in the exchange of information between banks. Customers are not affected, businesses are not affected. It was a natural sandbox,” said Demetrio Migliorati, jefe de la blockchain del Banco Mediolanum.
Finally, some financial institutions have begun to use the new blockchain system to share information relevant to KYC regulations (“know your customer”