The Problem
Intraday liquidity costs banks billions in profits every year
Banks often need to make early outgoing payments. Each bank performs a one-sided measurement for liquidity buffer needed and for regulators.
Banks with an intraday surplus today are unable to easily transact to earn a return, due to inefficient trade processing, settlement risk and credit risk.
The Solution
Finteum is creating a global financial market for intraday FX swaps on distributed ledger technology (DLT). Most finance DLT applications are replicating existing transactions on-ledger to increase transparency and cut costs, but Finteum uses the power of DLT to create a valuable market for intraday liquidity that was previously impossible.
The Finteum initiative is a bank-led initiative, with bank treasury teams driving the direction. The Finteum team does the heavy lifting and helps the banks to agree among each other on the approach.
Research Paper
For more information, please read the research paper that Finteum co-authored with Baringa Partners and R3.
Get in Contact
If you have questions or comments on the Finteum solution, please get in contact with us to discuss.