The Bank of England (BoE) recently released a press release announcing that its FinTech Accelerator has launched a new community bringing together FinTech-related organizations. On March 17, the BoE published on its official website a press release stating that its Fintech Accelerator was launching a new community to share developments and engage with different fintech firms across the financial sector.
The BoE indicated that this community is aiming to establish three main grounds:
1. Share the developments, trends and ideas.
2. Ensure that the Bank is involved with different FinTech firms throughout the financial sector.
3. Allow companies with interest in FinTech to connect, supporting the development of the sector.
The BoE also agreed that companies committed to the community will be working with the following proof of concepts; Mindbrindge artificial intelligence and the Ripple network.
MindBridge’s AI auditor detects anomalies in financial transactions and reports using data science, mechanical learning, and artificial intelligence, and explores the benefits of automated learning to analyze the quality of regulatory data entry. While Ripple will allow you to carry out a proof of concept to demonstrate the synchronized movement of two different currencies through two different real-time gross settlement (RTGS) systems.
The objective of the BoE is to show how this type of synchronization can reduce settlement risk and improve the speed and efficiency of cross-border payments. It appears that the Bank of England sees RTGS as the “electronic counterpart of banknotes and the means of final payment without risk – RTGS is at the heart of the Bank’s mission for monetary and financial stability.” And since the Ripple solution is built around an open and neutral Inter-Ledger protocol and serves to drive interoperable payments across different ledgers and networks, the BoE decided that it would be their best choice.
Overall, the aim will be to show the synchronized movement of two different currencies through two separate systems and how this type of synchronization could reduce settlement risk by improving the speed and efficiency of cross-border payments. And with the help of MindBridge’s AI auditor, the BoE is surely trying to figure out how to implement an infallible system that could be able to explore and track digital currencies.
The Bank deliberated that community members will be invited to meet with the BoE approximately two or four times a year to share updates on trends and developments in the sector. The BoE will also hold quarterly networking and knowledge sharing events, and will publish summaries of the topics covered.
With the help of this new Fintech community, the Bank of England is seeking to investigate the simultaneous use of different real-time settlement systems and an artificial intelligence auditor to track those systems. This collaboration marks the first time that a Bank is expressing an interest in exploring how it can use blockchain technology to improve its cross-border payment operations.