We explore how increasing the frequency of settlement cycles impacts liquidity efficiency and systemic risk with CLS Group's Emanuel Vila.

This session follows the recent publication of a joint study from FNA and CLS investigating the trade-offs of potentially increasing settlement frequency in CLSSettlement which currently settles over $7 trillion in FX transactions daily with high netting efficiency.   

The study is significant in that it takes a unique look into the trade-off between increasing the number of settlements and reducing netting efficiency, something often neglected by public discourse, and serves as a foundation for future industry discussions on optimizing FX settlement. 

CLS’ Director of Corporate Strategy & Innovation Lead, Emanuel Vila, joins Carlos Leon for a fireside chat to discuss findings from the report, why this study matters, and what its conclusions may mean for the future of FX payments.

 Read the full report: ‘Reimagining same-day FX: Exploring the case for additional settlement cycles’ here >

Guests Oliver Hanmer (Payment Systems Regulator) and Dave McPhee (Pay.UK) joined FNA as we explored the complex challenge of balancing consumer protection measures and seamless payment experiences. 

Protecting consumers is paramount in ensuring trust in financial services. But as the right payment landscape evolves, how do financial institutions strike the right balance between offering a seamless payment experience and robust fraud prevention measures to protect consumers? 

In this session, we delved into regulatory and industry-led interventions including the role of data in fraud mitigation, emerging AI-driven solutions, and best practices from different jurisdictions.

Our guests provided valuable insights into how regulation industry initiatives can work in tandem to protect consumers, drive efficiency and foster innovation in payments ecosystem as we ask seek to find the balance between reducing friction across the payment journey while optimizing fraud prevention and funds recovery.

Guests Baltazar Rodriguez, BIS Innovation, Toronto, and  Animesh Gosh, CEO of Currency Network, joined FNA to explore the groundbreaking work of Project FuSSE (Fully Scalable Settlement Engine) led by the BIS Innovation Hub in collaboration with the Inter-American Development Bank (IDB). 

The initiative aims to revolutionize financial market infrastructures (FMIs) by addressing critical challenges such as scalability, interoperability, and security while preparing FMIs for emerging technologies, including AI and quantum computing. 

This session covered:

An overview of Project FuSSE and its objectives in modernizing payment settlement engines

The scalability of the solution and how it meets the demands of today’s financial ecosystem 

How FuSSe addresses operational challenges such as Liquidity saving mechanisms and security such as quantum-resistant cryptography

The role of private-sector innovation in creating more inclusive financial projects and what more can be done to accelerate the modernization of payment settlement engines

With:

| Matthew Hunt (Deloitte, Currency Research)

Deloitte’s Matthew Hunt, Valeria Gallo and Ben Thornhill joined FNA for Session 18 of the Payments Systems Broadcast as we looked ahead to see what the future of money and payments holds. 

As payment infrastructures undergo significant moerniziation, it is crucial to address how these changes impact central banks, regulators and payment system operators.

In this session, we explored the evolution of payments, focusing on strategic priorities, trends and solutions for navigating the dynamic payments landscape including: 

With:

| Anneke Kosse, Senior Economist (Bank for International Settlements)

Given the substantial volume of transactions processed daily, finding anomalies is much like finding a needle in a haystack. So, how can Anneke Kosse and Ajit Desai’s novel machine-learning framework enhance transaction monitoring? 

Annke Kosse and Ajit Desai discuss their framework and how it significantly enhances the resiliency and efficiency of payment systems in this Payment Systems Broadcast.

The session follows Natsuki and Tunathon’s recent contribution to the IMF’s CBDC Virtual Handbook as we explored how strategic policy decisions and engaging intermediaries and end-users are key to addressing issues such as trust, public awareness and preference for existing payment methods. 

We also looked at the recently introduced REDI Framework and how the regulatory strategies, educational initiatives, design, and deployment choices it outlines help pave the way towards CBDC adoption. 

The session covered:

With:

| David McKay (HSBC Innovation Bank)

As consumer scams and fraud become more sophisticated and complex, finding effective strategies and solutions to protect consumers becomes increasingly imperative.

In session #16 of the Payment Systems broadcast, guests David McKay (HSBC Innovation Bank) and Chad Reimers (TransUnion) joined FNA to share their insights on how to effectively tackle the ever-evolving threat of fraud, safeguard consumers, and maintain trust in the financial system.

Together, we explored the current trends and tactics organizations are deploying to combat fraud and the innovative technologies and strategies emerging to help protect consumers.

The session covered:

With:

| Arvinder Bharath (International Monetary Fund)

Session #27 of FNA’s CBDC Broadcast delves into Project Polaris- a collaborative initiative focusing on the exploration and analysis of potential risk and mitigation strategies associated with tokenized securities and Central Bank Digital Currencies (CBDCs)

Guest Arvider Bharath (IMF) and Beju Shah (Bank for International Settlements) joined FNA to guide us through the project, which aims to provide a comprehensive understanding of how these emerging financial technologies can impact the stability of the financial system. We also discussed the role and importance of technologies like blockchain and international collaboration as guests shared case studies and lessons learned from the project.

With:

| Cameron Nili (Accenture, World Economic Forum)

Overview

The session covered:

| David Chaum (CEO Elixxir.io & Original Founder of XX.network)

In this session of FNA’s 60-minute webinar series, The CBDC Broadcast, guests David Chaum and Animesh Ghosh join us to offer insight into Currency Network’s vATM solution.

We’ll hear how this innovative CBDC solution aims to break down the barriers to CBDC adoption by simplifying and reducing the cost of CBDC implementation as our guests discuss how the vATM solutions offer frictionless CBDC payments through the contactless PoS system while ensuring cash-like privacy by combining advanced cryptography with financial messaging.

The session covered: