FedNow showcases DLT-powered payments system as service provider

The US Federal Reserve’s prompt fee system referred to as FedNow has added an organization powered by the distributed ledger know-how (DLT) platform Hedera Hashgraph to its record that showcases service suppliers. 

On Aug. 14, FedNow’s official web site added Dropp, a micropayments platform constructed on Hedera, to its FedNow Service Supplier Showcase part. The part goals to attach monetary establishments and companies with service suppliers that may “assist them innovate and implement prompt fee merchandise utilizing the FedNow Service.”

In line with FedNow’s website, Dropp is a digital answer that was made in order that retailers can settle for funds at low prices. The corporate makes use of DLT and controlled banking tech to construct its answer that permits retailers to just accept funds with out paying big transaction charges. 

Whereas the brand new replace appeared just like the Federal Reserve is warming as much as DLTs, the FedNow service additionally wrote on its web site that the supplies are solely “introduced as a comfort” to potential FedNow Service Members.

“Federal Reserve Monetary Providers (FRFS) is merely the host for the showcase and doesn’t help or endorse any showcase suppliers, and the inclusion or exclusion of a supplier ought to by no means suggest any suggestion or endorsement by FRFS,” FedNow wrote.

Associated: FedNow Service has no relation with CBDCs, Federal Reserve clarifies

In the meantime, some crypto group members criticized the brand new improvement, saying that folks could have given up on the thought of crypto being an alternative choice to the corruption in monetary methods. On Reddit, a group member expressed feeling hopeless as individuals cheered on the brand new partnership. In line with the Redditor, it’s comprehensible that persons are attempting to get a greater monetary state of affairs, nevertheless it shouldn’t be on the expense of getting a good and open monetary system.

Earlier this yr, different blockchain networks additionally introduced that they can even be connecting to FedNow service however magically disappeared from the positioning days after being added. On Might 11, Metallic Blockchain announced that it will be connecting to the FedNow service. Nonetheless, after just a few days, the service supplier was removed from the site. 

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