Fnality CEO: Banking Industry Embraces Blockchain Payment Technology

Michelle Neal, CEO of Fnality International, recently stated that the banking industry is increasingly embracing blockchain-based payment systems. She highlighted that the technology’s 24/7 availability, real-time settlement, cost efficiency, and decentralized architecture offer transformational potential—particularly in reducing systemic risk.

Fnality International is a London-based fintech company focused on building interoperable blockchain payment infrastructure. The firm is backed by leading global financial institutions, including Goldman Sachs, UBS, Barclays, and BNP Paribas.

In December 2023, Fnality launched its first blockchain-powered payment platform for GBP. According to official reports, early adopters of the platform include Lloyds Banking Group, Santander, and UBS. This move marks a significant step forward in the application of blockchain payments in the UK banking sector.

Fnality recently raised £77.7 million in funding, which will be used to expand its global blockchain payment network. Neal revealed that the company plans to launch a USD-based payment system in the U.S. by late 2025 or early 2026, aiming to facilitate on-chain, real-time settlement for cross-border transactions.

She emphasized that traditional payment systems are often limited by operating hours and delayed settlement times, while blockchain enables around-the-clock functionality and significantly enhances liquidity efficiency. Additionally, smart contract automation reduces human error and increases transparency.

Fnality's technical architecture is built around the concept of a "Universal Settlement Coin (USC)," a digital currency backed by central bank funds and used within permissioned blockchain networks. Through USC, banks can transfer assets and make payments without intermediaries, boosting transaction reliability and security.

Meanwhile, other financial institutions are also exploring blockchain technology. JPMorgan has developed JPM Coin for fast interbank settlements, while Citibank is experimenting with tokenized assets to improve payment and clearing operations.

These developments reflect the increasing acceptance of blockchain across the banking sector. Neal noted that blockchain payment systems could expand beyond internal clearing to encompass cross-border payments, securities transactions, and supply chain finance.

While regulatory compliance, standardization, and technical integration remain challenges, more financial institutions are moving from exploration to actual deployment. Fnality is playing a pioneering role in modernizing interbank settlement infrastructure.

Looking ahead, with the launch of a USD blockchain system and growing adoption of digital currency and distributed ledger technology, a fundamental shift in the global payments landscape appears imminent.