Definition ∞ An interbank payment system is a network that facilitates the transfer of funds between different financial institutions. These systems are crucial for the functioning of the broader economy, enabling banks to settle transactions with each other. They operate at the wholesale level, processing large volumes and values of payments. Central banks often oversee these critical financial infrastructures to ensure stability.
Context ∞ Traditional interbank payment systems are undergoing significant modernization, with digital assets and distributed ledger technology offering new avenues for efficiency. Discussions often focus on reducing settlement times and operational costs through innovative solutions. A critical future development involves the potential integration of central bank digital currencies into these systems for real-time gross settlement. This evolution aims to enhance the speed and security of wholesale financial transactions.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
