The United States Federal Reserve has approved the July launch date for the long-awaited instant payment system “FedNow.”
FedNow payment system, which aims to “reduce payment time” in the services of financial institutions, has passed the approval for its July launch. The new payment system, FedNow, began to be characterized in many ways. Users seem hopeful about this payment system, which they see as an alternative to central bank digital currencies and stablecoins. FedNow will benefit transactions between consumers, merchants and banks with instant payment systems. It also represents an important step for the government, as it is controlled by the Federal Reserve. In addition, the RTP network that Clearing House offers for real-time payments is operated by major banks.
FedNow Service Details Are Included
In line with the announcements made on March 15, the US Fed stated that it has set the start date of FedNow to July, and that the US Treasury and various financial institutions are ready to use the network from its launch. In addition, the Fed added that “certificates will be provided to participants” in the first week of April in preparation for the launch.
Announced in 2019, the new payment system FedNow can transmit from the user performing the commercial transaction to the buyer via a Fed credit account. The system, which can provide gross payment at any time of the day, also has important features in fraud risk management.
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