Accenture is working with SAP and R3 to develop a real-time gross settlement (RTGS) system designed to streamline payments between banks and customers.
The prototype platform uses distributed ledger technology (DLT) to enable faster, more efficient, reliable and secure payments. According to Accenture, it will allow for integration and interoperability between DLT-based and classic government-issued payments and settlements.
“Because the current payment settlement infrastructure is highly complex and fragmented, RTGS systems that leverage DLT and cryptographically secure tokenised payments can help central banks improve efficiency and security,” said John Velissarios, a managing director and global blockchain technology lead at Accenture. “The RTGS prototype, designed in collaboration with SAP and R3, demonstrates the next stage of efficiency in payment systems and ultimately paves the way to linking to tokenised-assets, like equities, to create an increasingly integrated and seamless financial services ecosystem.”
The prototype is based on the SAP Payment Engine application, which serves as the central hub for payment initiation, processing, clearing and settlement and integrates with enterprise blockchain software provider R3’s Corda platform to enable interactions with RTGS systems, delivering nearly seamless interoperability between conventional and token-based payments. With Accenture’s experience in central bank clearing and settlement, and blockchain capabilities, the prototype will enable peer-to-peer payments between banks that have adopted DLT as well as those that have not, the professional services firm explained.
“As market participants accelerate their use and acceptance of digital payments, payment providers and banks need to adapt quickly and prepare for these new forms of payments,” commented Falk Rieker, global head of IBU Banking at SAP. “The RTGS platform is designed to enable banks and payment providers to easily adopt and integrate DLT-based payments on their existing platforms, helping banks to safeguard as well as augment the value of their investments.”
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