The Federated States of the United States To book made significantly announcement regarding the certification of 57 organizations, including financial institutions and service providers, for the highly anticipated launch of the FedNow service.
With major banking industry players such as JPMorgan Chase, Bank of New York Mellon, US Bancorp and Wells Fargo among the certified entities named by the Fed, the stage is set for a transformative shift in the financial landscape.
Completion of testing and certification for FedNow
The Federal Reserve announced that 57 early adopter organizations have successfully completed formal testing and certification for the upcoming launch of the FedNow service, scheduled for late July.
This diverse group consists of financial institutions and service providers ready to send and receive transactions, supporting settlement and processing on behalf of participants.
The US Treasury Department is also among the early adopters, reflecting the widespread commitment to this pioneering initiative.
Readiness and final trial runs
The certified organizations are currently undergoing final test runs to confirm they are ready to handle live transactions through the new instant payment infrastructure.
This critical phase ensures that participants can seamlessly embrace the capabilities of FedNow, providing their customers with enhanced payment experiences.
As part of this process, extensive testing and validation has been performed to ensure compatibility, reliability, and optimal performance.
The FedNow service is designed as a platform for innovation, allowing financial institutions to adopt and build on its capabilities over time. With the aim of offering new instant payment services to their customers, these institutions are expected to use FedNow for various use cases, such as account-to-account transfers, payment requests, bill payments, and more.
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This forward-looking approach fosters a dynamic and evolving financial ecosystem that responds to the changing needs of both businesses and individuals.
In addition to the early adopters, the Federal Reserve continues to work with financial institutions that plan to join the FedNow service later in 2023 and beyond.
This ongoing effort aims to build a robust network that spans all 10,000 U.S. financial institutions, ensuring nationwide reach and accessibility.
By facilitating participation by organizations of all sizes and geographies, the Federal Reserve is paving the way for a comprehensive and inclusive instant payments ecosystem.
This instant payment system will revolutionize the US payment infrastructure, enabling individuals and businesses to make faster and more efficient transactions.
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