Proposed System Seeks to Link Traditional Banks With Blockchain Payment Networks

A proposed system would connect traditional banking infrastructure with blockchain-based payment networks while allowing banks to retain customer deposits. According to Cointelegraph, the concept is designed to bridge existing bank rails and blockchain payment systems without shifting deposit custody away from banks, keeping customer funds held within the traditional banking framework. The proposal centers on interoperability between conventional financial institutions and blockchain-based networks, positioning banks as the primary holders of customer deposits even as payments move through blockchain-enabled channels. The system’s stated aim is to integrate established banking operations with newer payment technologies, potentially enabling blockchain-based settlement or transfer mechanisms while maintaining the role of banks in deposit management. No additional operational details, timelines, or participating institutions were specified in the provided information.