What is SWIFT? Decided for Russia BitCoin price Prediction – Review and Chart 2022
With the invasion of Ukraine, it has been the subject of great debate in the last days whether Russia will be removed from the SWIFT system. In this direction, it was expected that the countries would take a definite decision. The expected decision has come out as of today. It has been decided to remove some Russian banks from the SWIFT system in EU countries, the UK and the USA. It has been reported that this will be implemented shortly.
SWIFT is an electronic messaging system used by banks and financial institutions worldwide for payments. Considered the gold standard for reliability and security in financial transactions, SWIFT is used by more than 11 thousand institutions in 200 countries today. An average of more than 40 million messages are sent daily through this system.
The first steps were taken in 1973 for SWIFT
, a term that is always encountered by those sending money abroad. 239 banks from around the world joined forces to find a better solution for cross-border payments and created SWIFT. It is also used for system operations. In addition to banks, the system is also used by intermediary institutions, securities dealers, exchanges, custody service providers.
As in the case of Russia, SWIFT is also used as a sanction tool. For example, between 2012 and 2016, Iran was cut off from SWIFT due to sanctions over its nuclear program. Such a decision was also taken for North Korea.
Finally, although SWIFT is now widely used for international transactions, alternative tools are also developing. For example, blockchain technology solutions may stand out as an important alternative in the futures