Digital Interbank Network Executes Real-Time Payment On Blockchain

Western Alliance Bank transferred $1.1 million digital dollars to Coastal Community Bank in an inaugural demonstration last week of a new payment rail built on blockchain technology.

More than 100 U.S. banks watched the real-time transfer between $50 billion Western Alliance Bank and $1.5 billion Coastal Community Bank Dec. 16.. The Digital Interbank Network — owned and governed by member banks and slated to go live in 2022 — is built on blockchain by New York-based Tassat Group, the network’s sponsor, which said it was the first transfer of digital dollars between banks.

Tassat Announces Blockchain Real-time Payments Network For Banks

Financial technology platform Tassat will roll out a platform that uses blockchain to allow bank customers to send each other payments that would usually take days in a matter of minutes.

New York-based Tassat announced plans to launch the network some time next year during a presentation Thursday in New York. Western Alliance Bancorp sent Coastal Community Bank $1.1 million across the network in a demonstration at the Times Center on 41st Street. Silver and blue balloons rained down on the stage once the transaction was complete.