Financial markets face unprecedented challenges, and at Fnality International we will address these challenges by enabling quicker, safer, and more efficient exchange of value in the global wholesale financial markets.
In our Insights series, we explore how through the lens of the most pressing issues in the space.
We are developing a new type of payment infrastructure for wholesale transactions that will address many of the weaknesses of today's post-trade landscape. Find out how Fnality Global Payments will:
- maximise operational resilience and availability
- reduce concentration risk through peer-to-peer settlement
- minimise credit risk exposures among our participant financial institutions
Download our paper to find out more about our design choices and the use cases that will power the future of Financial Market Infrastructure.
Blockchain and distributed ledger technology has led to increasing interest in the future of money and payments, not least from regulators and policy makers. We believe that well-designed wholesale payment systems based on DLT can fulfil the regulatory requirements that have been developed for traditional systems, and that the use of new technology does not mean that there are gaps in existing law.
Download our paper to discover how our network of Fnality Payments Systems will achieve this.
Wholesale central bank digital currencies (CBDCs) have been proposed as a solution for long-standing issues in wholesale financial markets. Despite growing interest from central banks, regulators, and financial market participants, no such project has progressed past the prototype stage.
Download our paper to explore why, and discover how Fnality Global Payments offers new solutions to the problems that wholesale CBDCs seek to solve while unlocking new benefits.
Resilience is the ability to recover from disruptive events; it is a core characteristic of any successful organisation, ecosystem or society. Due to its systemic importance, regulators have put the resilience of the financial sector under particular scrutiny.
Download our paper to discover how Fnality Global Payments has operational and organisational resilience at its heart, and how this will drive the adoption of a simpler and safer peer-to-peer settlement model.
For a long time, large value payment systems have been viewed as being important for financial stability. But so far, they have not been considered to have an impact on monetary policy and its implementation. However, the advent of new technologies like distributed ledger technology has led to a marked surge in attention by the central banking community to these payment and settlement systems.
Download our paper to discover why, despite being novel in terms of the technology that underpins them, pre-funded wholesale payment systems like those within FnGP have essentially no monetary policy implications.
Financial Market Infrastructures (FMIs) play an important role in limiting contagion among financial institutions in times of stress. But links among FMIs, if designed and managed poorly, may also turn out to be channels of transmission of financial risks.
This paper illustrates two approaches of how Fnality Global Payments intends to manage spillover risks between the payment systems in its ecosystem.
Financial Market Infrastructures (FMIs) are the backbone of post-trade clearing and settlement of financial transactions - they are essential for the stability of the financial system, and their safety and soundness needs to be ensured at all times.
However, regulators, overseers, and standard setting bodies are often challenged in keeping pace with technological developments and innovations such as the advent of blockchain and DLT.
These innovations in particular are greatly expanding the feasibility set of how FMIs can operate, and in this paper we propose a flexible, general framework that would allow overseers to assess, implement, and realise the benefits of novel operational FMI arrangements.
