The payment service system “FedNow”, which was said to be a rival to crypto at the time it was announced by the US Federal Reserve (FED), was launched.
FED 20 July In a press release published on its official website on user And of the actors more cost-effective, faster And uninterrupted to carry out financial transactions enabling payment services system FedNow announced its publication.
What is FedNow?
FedNow, US Federal Reserve developed by and once operating in our country to PayPal a similar payment services system. FedNow, users each other between momently And instantly allowing you to transfer money traditional transfer methods along with brought by eliminate the waste of time aims.
The Ministry of the Treasury was also among the participants.
System of all sizes bank And credit union USA, while it was announced that it could participate of the Treasury Department Besides the 35 banks And credit union It is stated that it is currently registered in the system. Moreover 16 service providers in bank And credit unions to support ready it was underlined.
The Fed is in the current state of the system. any day of the year at any time stated that it supports instant money transfer. Besides, the system completely At the stage of its availability, it offers its users many use mentioned that it can. In the relevant scenario, the Fed will send employees’ paychecks via FedNow. instantly take it that small businesses can use resulting from transaction delays in cash flows. that they can remedy the inefficiency expressed.
Fed Chairman Jerome Powell made the following statements on the subject:
The Fed created the FedNow service to help make day-to-day payments faster and easier for years to come.
Key players in the traditional financial market are FedNow’s quite useful He stated that it was a system. BNY Mellon Global Payments Co-President Carl Slabickicustomers from these capabilities. to take advantage of and FedNow themselves competitive advantage to be what they want told.
Half a million dollars transfer limit
According to the information given, the FED will determine the transfer amount. 500 thousand with dollars will limit. This boundary is for financial institutions. 100 thousand dollars, while organizations wish able to lower the limits or can raise.
Financial institutions participating in the system pay the FED for the services used. service fee will pay, but this service fee whether it will be passed on to customers Unknown.
Also at FedNow, Venmo or PayPal Unlike its counterparts, transfers made directly to its users to bank accounts will be deposited.
Besides, the system initially only domestic will support payments. FED, to international payments recommended that users who need it use traditional methods.
Can it compete with crypto?
Crypto And FedNow’s around the clock cheap And trustworthy provide money transfer money transfer crypto usage in the USA for now that can affect is being considered. All around the world 24 hours Crypto, which allows instant money sending, is in this field with FedNow. able to compete is level. When FedNow first came to the fore, the best crypto money project providing international money transfer Ripple (XRP) with a large rivalry It was stated that he would enter.