At the Temenos Community Forum 2016, leading auditing and consulting firm Deloitte demonstrated full integration of Ripple technology into Temenos T24, allowing real-time international payments.

For this pioneer project, Deloitte worked with Bluzelle—a licensed, software company based in Canada and Singapore—which builds blockchain and distributed ledger solutions for the financial industry. The project involved full integration with the Ripple protocol and the Temenos Core Banking Software using the Bluzelle Altitude Gateway technology.

“This integration is a great translation of our strategy to make blockchain real for our clients. Connecting the right blockchain-based solutions to core platforms is critical to harvest the benefits of distributed ledgers to generate cost efficiencies and new business opportunities,” concludes Eric Piscini, Deloitte Global Blockchain Leader.

New payment technologies are transforming financial systems landscape by facilitating direct bank-to-bank settlements in real time, including international transfers. Deloitte said that by combining core banking systems with Fintech, it seeks to open the door for brand new opportunities.

Temenos is a leading software provider for the financial industry, while Ripple technology is an open-source system based on Internet protocols, enabling domestic and international payments in any combination of currencies to be settled directly between the parties without the need for central clearing houses or correspondent banks.

Deloitte emphasized that the Ripple integration aims to enable financial institutions to send payments, either in local or foreign currency, in real-time without the need to depend on intermediary banking relationships. This will transform the manner in which international payments are managed and processed, as Ripple technology reduces fees, transaction times, and the need for liquidity.

“Banks have undergone an important technological transformation over the past years. We are now seeing a disrupted marketplace with new market entrants and an array of innovative technologies. The new-generation customer is now driving change in banking and soon he will no longer accept to wait for three days for an international payment to go through,” says Patrick Laurent, Partner and Technology Leader at Deloitte.

The European Payments Council are expected to develop a scheme for instant payments in euro by this November and implement it within a year, based on SEPA CT (Single Euro Payments Area - Credit Transfer), and available for all payment service providers in Europe.