ANNOUNCEMENT: BNY enables Pay-to-Wallet capability, helping banks meet the rising demand for cross-border #payments by making it possible to send funds directly to participating retail digital wallets. As wallets continue to play a larger role in everyday commerce, especially across Asia Pacific, this enablement will help banks expand reach through trusted existing infrastructure. This is another step forward in improving payment experiences that better reflect how people receive and move money daily. Learn more: https://lnkd.in/eRdASfYJ
The strongest payment infrastructure is invisible: money reaches people in the way they already choose to receive it.
Moving the endpoint rather than the rail is the practical part: across much of Asia Pacific, the wallet is where people actually receive money. For platforms paying creators or gig workers, what decides whether it works sits on the wallet side: the receiving wallet's KYC tier, its inbound limits, and the return path when a credit cannot land. Those rarely map one for one onto a bank account.
Extending SWIFT rails to support bank‑to‑wallet flows is a smart way to open wallet-led markets while avoiding the need to build new infrastructure or heavy integrations with individual wallet providers.
Well, the wallet operator becomes a new counterparty in the chain, and the questions banks will ask about it are the familiar ones: who holds the licence at the receiving end, how a returned payment is handled, what happens when the name on the wallet does not match the beneficiary. Those answers sit with the wallet's payout partner, and the sending bank inherits them. I expect the first corridors to grow where that partner has already done this before.