- New partnership with R3 will lead to better services for credit unions thanks to blockchain-powered solutions
- Both domestic and international payments will be covered, and AML and KYC compliance will be assisted through use of comprehensive policies
- “This is the technology of the future, and we are ecstatic that credit unions will be among the first financial services organizations to provide this service”, said CULedger spokesperson
A service platform designed to help organisations like credit unions has announced a new financial exchange service.
CULedger, which aims to help credit unions operate in the most effective way, confirmed that it was launching a blockchain-powered solution called CUPay.
It will work alongside a firm called R3 and will use its Corda blockchain technology to develop the product.
The CUPay system will permit electronic fund transfers between credit union members and the organisations to which they belong to take place in an almost instantaneous manner, which is a significant development.
It will allow for both domestic-based remittances as well as cross border payments, meaning that there will be a wide range of options for credit unions who use the system to choose from.
Credit unions will be able to use the system to choose between local and international payments, and they will also benefit from increased transparency.
As part of the new development, CUPay will use CULedger’s identity authentication solution – known as MyCUID.
There will also be measures put in place to ensure that know your customer (KYC) rules – as well as anti-money laundering (AML) rules – can be followed for compliance purposes.
For CULedger, Chief Experience Officer Julie Esser said that the new service offered an “alternative option” – and that it represented the “technology of the future”.
“Current payment methods, especially cross border payments, rely on outdated, slow technology laden with risk”, she said.
“CUPay gives credit unions and their members an alternative option — one that is more secure, protecting both members and the organization, and more efficient in terms of speed, cost and transparency.
“This is the technology of the future, and we are ecstatic that credit unions will be among the first financial services organizations to provide this service.”
For R3, Chief Revenue Officer Cathy Minter said that the firm was “proud” of the partnership – and expressed her hopes that CULedger would “continue to achieve success” as time goes on.
“CUPay will enable credit unions to move even closer towards cross-border payments that are executed seamlessly and successfully”, she said.
“That is why R3 is proud to be the partner to support CULedger’s initiative, which will allow its members to transact more efficiently. We look forward to seeing CULedger continue to achieve success and transform the way that payments are executed”, she added.
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