Successful test connection between Adhara hub and several FnPS systems

• Fnality and Adhara successfully executed a functional connection between an Adhara liquidity and payments hub platform and several Fnality test payments systems
• The successful completion of the test enables instant execution and settlement of corporate payments between international banking groups and external counterparts who are participants in Fnality Payment schemes, demonstrating in practice seamless interoperability between Adhara’s hubs and Fnality payments systems
• The test shows how multinational banking groups can execute payments on behalf of their corporate clients between their branches and external counterpart banks in distant geographies, settling through new digital cash services such as the Fnality Payments System
• The test involved a commercial bank liquidity hub providing a settlement leg within the banking group
• The test was conducted over the Fnality/Adhara ecosystem testnet, which is hosting both the ecosystem test instances of Fnality Payments Systems and Adhara’s Hub solutions

London, 20.06.2023 – The test involved a complete deployment of an Adhara’s liquidity hub and a digital payments hub modeling a banking group with a variety of branches in different locations, including Mexico and New York as branches and London as the group (internal) liquidity hub. Fnality accounts in the GBP and USD Fnality test instances were opened both for the London branch of the banking group and for external banks with presence in London and in Singapore.

A GBP payment was submitted from a corporate client’s GBP account of the London bank and received by the New York branch of the banking group implementing the hub, crediting the funds into the GBP account of the receiving corporate client out of NY’s operating hours.

Cross currency flows were also tested, including a payment starting from a MXN account of a corporate client of the Mexico branch of the banking group and finalizing in SGD account of a corporate clients of an external counterpart bank in Singapore. In this particular case the Mexico branch internally settled in USD with the NY branch through the banking group’s internal USD tokenized liquidity hub, and the NY branch settled on behalf of the banking group with the Singapore bank through FN USD.

The test demonstrated how Adhara’s tokenised liquidity hubs and digital payments hubs can easily interoperate with Fnality payments systems, as they are fully compatible given both Adhara’s commercial bank tokenised liquidity facilities and Fnality tokenised settlement cash assets are based on the same functional standards and support the same interoperability patterns, enabling atomic settlement across multiple settlement assets deployed over separate platforms.

Rhomaios Ram, CEO, Fnality International said: “Fnality provides a new digital cash foundation for our members to take advantage of the efficiencies promised by digital assets. Working with Adhara, we enable our members to exploit those efficiencies inter group.”

Julio Faura, Co-founder and CEO, Adhara Ltd said: “Adhara’s tokenized liquidity and digital payments hubs are built with the same philosophy, architectural principles and interoperability standards as Fnality Payments Systems, and this gives our bank clients the possibility to have the best of both worlds: hubs allow them to internalize their intra-group liquidity management and settlement flows to optimize their intraday liquidity buffers and to greatly improve their corporate treasury and payments offerings towards real time, 24/7, fully transparent and instant cross currency services; and seamlessly connecting to and interoperating with Fnality systems and digital business applications that clear and settle over Fnality allows them to extend the reach to the whole Fnality wholesale market ecosystem and bring the greater benefits to their group entities and their institutional client franchises.”

– ENDS –

 Media contact

The PHA Group – fnality@thephagroup.com

 About Fnality

Fnality is developing a series of regulated DLT-based wholesale payment systems. Each system, known as a Fnality Payment System (FnPS), is supervised by its respective central bank.

Within a FnPS, participants utilise a representation of funds held at central bank for instant wholesale payments. The launch of FnPSs in key jurisdictions will enable real-time cross-currency payments, and the secure atomic settlement of any delivery versus payment transactions around the clock. The credit quality of the central bank funds underpinning Fnality Payment Systems provides the missing ingredient for novel digital asset markets: institutional-grade digital cash.

The Sterling FnPS has previously been recognised by HM Treasury as a systemically important payment system in the UK, bringing it into the regulatory remits of the Bank of England and the Payment Systems Regulator (PSR). This made the Sterling FnPS the first regulated DLT-based payment system in the world.

Fnality’s shareholders comprise: Banco Santander, BNY Mellon, Barclays, BNP Paribas, CIBC, Commerzbank, DTCC, Euroclear, Goldman Sachs, ING, KBC Group, Lloyds Banking Group, Mizuho Financial Group, MUFG Bank, Nasdaq Ventures, Nomura, Sumitomo Mitsui Banking Corporation, State Street Corporation, UBS and WisdomTree.

For more information, please visit fnality.com

About Adhara

Adhara is a leader in developing software solutions for tokenised money over smart contract-enabled, decentralised ledgers. Adhara serves commercial banking groups through Deposit Token solutions, enabling intra-group liquidity and payments optimisation and digital cash services for institutional clients. Via their broader solution set, Adhara also supports FMIs looking to leverage the value of digital cash in payments orchestration, issuance and margining services. Their anchor product, DC Commander, is designed to consistently help clients engage with a variety of new digital settlement layers and business platforms, extracting structural benefits by driving increasing cash optimisation and opening up new revenue-generating strategies.

For more information, visit  www.adhara.io