The tokenized dollar is called Wells Fargo Digital Cash and it will be used in a pilot initially for internal settlement across the company’s business. The digital token will enable to settle internal cross-border payments across its global network. Its international locations will also be able to move funds between each other using the token.
When contacted by CoinDesk, Wells said its DLT is built on Corda Enterprise, the paid-for enterprise version of R3’s blockchain technology. Wells Fargo says its proprietary digital ledger tech (DLT) platform will enable it to move money in ‘near real-time’ and ‘without impact to the underlying account, transaction postings or reconcilement infrastructure’.
The pilot, slated for 2020, will start with transfers of US dollars, but is expected to expand to other currencies. Eventually, it also aims to reach all Wells Fargo branches worldwide.
Parallels can be drawn between what Wells Fargo is testing out and JPMorgan’s JPM Coin and its Interbank Information Network (IIN) which this week added Deutsche Bank to the 300-plus other banks on that network.
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