42 Japanese banks join remittance blockchain alliance launched by SBI Group

42 Japanese banks have joined a new blockchain consortium dedicated to cross-border payments.

The alliance, a joint venture between financial services group SBI and distributed ledger firm Ripple, includes a range of large and small businesses. It was formed after SBI announced the creation of its own digital currency exchange.

Members of the alliance plan to share resources, collaborate on cross-border payments and create the foundation for commercial-scale products next year.

SBI said in a statement:

“The alliance will promote discussions from a technical and operational perspective on the conditions and content required for domestic and international exchanges to use blockchain and other technologies, strengthen domestic and international exchange services, create a 24-hour real-time remittance infrastructure, and complete a conceptual prototype by March next year to promote commercial applications.”

SBI said the consortium's organizing effort began in August with a goal of recruiting 15 banks as members. The number of members grew during the solicitation phase, the company said.

The alliance backed by SBI is the latest in a series of similar initiatives, including the Russian Financial Union and the European Insurance Alliance.