SWIFT operates as a centralized hub-and-spoke model. For a bank in Brazil to send money to a bank in India, the message must pass through SWIFT’s secure servers in Belgium, and the actual money often passes through “correspondent” banks in the U.S. or Europe.
BRICS Pay uses a Decentralized Cross-border Messaging System (DCMS). There is no central owner or hub. Instead, it uses a “fractal topology” where each participating bank manages its own node. This makes the system resistant to external interference or being “shut off” by a central authority.
SWIFT is not a payment system; it is a messaging system. It sends the “instruction” to move money, but the actual settlement can take 1–5 business days as it hops between multiple intermediary banks.
BRICS Pay is designed to be an end-to-end settlement system. By using blockchain and distributed ledgers, it can settle transactions in real-time (seconds to minutes) because it records the value transfer directly on a shared ledger rather than waiting for bank-to-bank reconciliations.
SWIFT is heavily reliant on the U.S. Dollar as the primary reserve currency. Most international SWIFT transfers require a conversion into USD at some point in the chain, adding exchange fees and making the system sensitive to U.S. sanctions.
BRICS Pay is built specifically for Local Currency Settlement (LCS). The blockchain tech acts as a “bridge” that allows direct conversion between, for example, the Brazilian Real and the Indian Rupee without needing the U.S. Dollar as an intermediary.
Key here is decentralization and freedom from US hegemony.
Oh is it 2018 again
Sorry I should elaborate:
SWIFT operates as a centralized hub-and-spoke model. For a bank in Brazil to send money to a bank in India, the message must pass through SWIFT’s secure servers in Belgium, and the actual money often passes through “correspondent” banks in the U.S. or Europe.
BRICS Pay uses a Decentralized Cross-border Messaging System (DCMS). There is no central owner or hub. Instead, it uses a “fractal topology” where each participating bank manages its own node. This makes the system resistant to external interference or being “shut off” by a central authority.
SWIFT is not a payment system; it is a messaging system. It sends the “instruction” to move money, but the actual settlement can take 1–5 business days as it hops between multiple intermediary banks.
BRICS Pay is designed to be an end-to-end settlement system. By using blockchain and distributed ledgers, it can settle transactions in real-time (seconds to minutes) because it records the value transfer directly on a shared ledger rather than waiting for bank-to-bank reconciliations.
SWIFT is heavily reliant on the U.S. Dollar as the primary reserve currency. Most international SWIFT transfers require a conversion into USD at some point in the chain, adding exchange fees and making the system sensitive to U.S. sanctions.
BRICS Pay is built specifically for Local Currency Settlement (LCS). The blockchain tech acts as a “bridge” that allows direct conversion between, for example, the Brazilian Real and the Indian Rupee without needing the U.S. Dollar as an intermediary.
Key here is decentralization and freedom from US hegemony.
I just assume when someone uses the word “blockchain” unironically they have no idea how things work