Fiat Currency Settlement

Definition ∞ Fiat currency settlement refers to the final transfer of traditional government-issued money, like USD or EUR, to complete a transaction. In the context of digital assets, this means converting cryptocurrency holdings back into fiat currency and depositing it into a conventional bank account. It represents the conclusion of a financial operation using established banking systems. This process bridges the gap between digital asset markets and traditional financial infrastructure.
Context ∞ Discussions around fiat currency settlement often concern regulatory compliance, speed, and cost efficiency in cryptocurrency exchanges and payment systems. News frequently covers developments in payment rails and banking partnerships that facilitate smoother fiat conversions. The availability and ease of fiat settlement are crucial for broader adoption of digital assets by individuals and businesses.

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→Financial Market Infrastructure

→Operational Efficiency

→Liquidity Management

Swiss Banks and Crypto Finance Pilot DLT for Near-Real-Time Fiat Settlement

DLT integration with core banking enables compliant, 24/7, near-real-time fiat settlement, drastically reducing cross-border payment friction and counterparty risk.

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→Commercial Bank Money

→Consortium Blockchain

→Value Transfer

Swiss Banks Achieve Near-Real-Time Fiat Settlement Using Google Cloud DLT

This DLT integration with core banking systems enables compliant, 24/7 near-instant settlement, dramatically reducing counterparty and liquidity risk.

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→Liquidity Management

→DLT Pilot Program

→Cross-Border Payments

Swiss Banks Pilot DLT for 24/7 Cross-Border Fiat Payment Settlement

Integrating DLT onto the core banking layer enables compliant, near-real-time, 24/7 interbank settlement, eliminating multi-day cross-border friction.

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→Regulatory Compliance

→DLT Infrastructure

→Commercial Bank Money

Swiss Banks, Crypto Finance Pilot DLT for Near-Real-Time Fiat Settlement

Leveraging Google Cloud DLT, Swiss banks enable compliant, near-real-time, 24/7 commercial bank money settlement to eliminate cross-border friction.

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→Banking

→Interbank Transactions

→Payment Rail Modernization

Swiss Banks Pilot DLT for Near-Real-Time Fiat Cross-Border Settlement

DLT integration into core banking systems enables compliant, 24/7 cross-currency settlement, drastically reducing counterparty risk and operational friction in global payments.