Together, both companies will enable consumers without bank accounts to send and receive money through bankless digital wallets, as well as instantly convert it into a traditional or emerging payment method of their choosing. 

This will enable businesses and individuals — including freelancers, remote workers and beneficiaries of cash-based transfers (CBT) — to bypass significant bank fees, exchange rates and other transaction charges that are traditionally required to send and receive money internationally. 

For many businesses and workers, cross-border payments are a lifeline. The global freelance economy, for instance, now includes more than 1.5 billion individuals, many of whom make their living through international work. 

The options for sending and receiving international payments, however, are still largely limited to traditional financial systems that require a formal bank account, and come with steep fees of up to 12% per transaction and extended wait times. 

In markets with limited access to traditional banks, individuals without bank accounts face even more fees for converting funds into digital alternatives, such as Mobile Money and airtime, in order to exchange currency via their mobile phone number.

Together, the Interledger Foundation and Chimoney will make cross-border payments a reality in more than 130 countries. 

Using the Interledger Foundation’s Interledger Protocol (ILP)—an open, neutral protocol for transferring money—and its Rafiki software to power payments through Chimoney’s Payment Infrastructure, the companies will give businesses the ability to send international payments quickly to any phone number or email at a fraction of the cost of current systems, with no fees passed on to the end consumer. 

Consumers will additionally be able to send feeless cross-border and local payments to other digital wallets in the Interledger network, as well as convert payments into their preferred currency from Chimoney’s digital wallet. 

This includes local options such as the USD, CAD and Africa’s M-PESA; and unconventional payment methods including gift cards, Mobile Money and airtime.   

Early pioneers in the cross-border payments space have made headway in bringing cross-border payments to individuals with bank accounts, but don’t serve those without them. 

Current offerings are also limited in terms of the countries and currencies they support, and payments usually take anywhere from one to three days, rather than hitting accounts instantly.

“At Chimoney, our mission has always been to break down financial barriers and enable universal access to financial services,” notes Uchi Uchibeke, founder and CEO, Chimoney. 

“Our partnership with the Interledger Foundation is a monumental step in this journey. These advancements will democratize access to financial services, just as the internet democratized access to information.” 

Recognizing the challenges that come with facilitating payments in multiple international markets—each with its own unique regulations—Chimoney’s ready-to-implement API gives companies the ability to embed cross-border payments into their offerings quickly, with regulations and compliance already built in. 

“Chimoney’s bankless cross-border payments model is evidence of how the entire financial industry can leverage open technology to create new offerings for those who haven’t had them before now,” said Briana Marbury, president and CEO, The Interledger Foundation. “Our work together puts us one step closer to a sustainable, interconnected global payments network.”

As a recipient of Interledger’s Digital Financial Services grant program, aimed at growing interoperable payment capabilities across global financial infrastructures, Chimoney is one of several companies paving the way toward a new standard for open-source financial inclusion worldwide.

This partnership marks a groundbreaking endeavor to democratize cross-border payments, enabling financial access for users across the globe.

Chimoney’s mission is crystal clear: to unlock economic opportunities for everyone, everywhere. This mission dovetails seamlessly with Interledger Foundation’s vision of a more equitable global society through an open payments network. Together, they aim to break down financial barriers, ensuring that financial services are a universal birthright.

Uchi Uchibeke, CEO of Chimoney, expressed his optimism about the partnership: “Our collaboration with the Interledger Foundation is a testament to our commitment to a more inclusive financial landscape. We look forward to exploring the possibilities this partnership brings and bringing Bank Accounts, Mobile Money, Airtime, and other payment options to the Interledger Ecosystem.”

When asked about the partnership with Chimoney, Briana Marbury, the CEO and President of the Interledger Foundation said;

“We are excited to have awarded the ILP Financial Services grant to Uchi Uchibeke, founder of Chimoney. Our partnership with Chimoney creates more opportunities to further the goals of global financial inclusion. We are also looking forward to Uchi speaking at our Interledger Summit this year in Costa Rica, where he and many other innovators in this space will share their insights.”

The primary focus of this partnership is the integration of the Interledger Protocol (ILP) into Chimoney’s ecosystem. ILP, an open-source framework, offers a decentralized platform for frictionless cross-border transactions.

This integration promises to simplify financial transactions across different blockchains and payment networks.

Chimoney’s integration of Rafiki capabilities into Chimoney Wallets further amplifies this vision, ensuring a seamless financial experience for users.

The potential of this partnership is boundless. Interledger Protocol (ILP)  could revolutionize cross-border payments, making them faster and more cost-effective. It could also pave the way for innovative financial solutions tailored to underserved communities.

“Chimoney extends an invitation to organizations and individuals who share our commitment to financial inclusion. Together, we are making financial services as accessible as sending an email, ensuring that financial inclusion becomes a reality for all”, Marbury said.

As this partnership progresses, Chimoney remains steadfast in its mission: unlocking economic opportunities for everyone, everywhere.

Alongside the Olympians who have gathered from around the world to compete in physical displays of strength, China is flexing its own proverbial muscle in the global economy.

In a move that laps the United States and Europe, China has released the digital yuan to the public, making it the first economic superpower to issue a central bank digital currency (CBDC).

According to Reuters, China’s new digital currency, the e-CNY, is being used to make 2 million yuan ($315,761) or more of payments a day in its latest pilot at the Beijing Winter Olympics.

While the Bahamas already has a fully functioning digital currency, China’s sheer size means that its attempt to develop a central bank digital currency (CBDC) is being closely watched.

Its latest trial is notable for the number of people attending the Games, and the fact that athletes, coaches and media from around the world can all use it via smartphone apps, physical payment cards or wristbands.

“I have rough idea that (there are) several, or a couple of million RMB (yuan) of payments every day, but I don’t have exact numbers yet,” Mu Changchun, director-general of the PBOC’s Digital Currency Research Institute, said during a webinar arranged by the Atlantic Council.

Few months back, Global mobile-first payments infrastructure company Celo, in partnership with global media company Forbes hosted a virtual forum under the theme: “The Future of Central Bank Digital Currencies (CBDCs) and Cryptocurrency,” where experts from central banks and the world’s leading financial institutions discussed progress, challenges and what the future looks like around this evolving technology.

Speaking at the virtual event, Jim Cunha, executive vice president, Secure Payments & FinTech, Federal Reserve Bank of Boston said “As countries adopt the idea of CBDCs, we should build flexible and sustainable structures that work with different countries according to the problems they are trying to solve. We must also think of “Privacy” when we talk about CBDCs”.

Seeing the increasing need for digital currencies and security of its users, Celo also announced the launch of a new solution called Provo, a value-add sandbox for public and official sector experimentation that allows Central Banks to explore and experiment with central bank digital currencies and other digital assets.

In a statement titled ‘Winning the Digital Currency Race’, Briana Marbury, Executive Director, Interledger Foundation, said that creatively rolling out the digital yuan at the Games by providing athletes ski gloves and smartwatches with built-in digital payment functions, China is hoping to gain an advantage over their measured competitors who have been sluggish to move forward with their own CBDCs. Conveniently (for them), the digital yuan also happens to be one of only three forms of payment accepted in the Olympic Village.

“Strong-arming aside, this is an impressive display of a large government body showing its willingness to embrace innovation.

“However, the initial uptake of the digital yuan has been slow due to stringent Covid restrictions imposed on Olympic visitors and privacy concerns highlighted by government representatives from the West.

Marbury further said that as the major superpowers in the world contemplate the best way to introduce a CBDC into their economy while simultaneously maintaining stability, the Chinese government has bet that the fastest across the finish line wins the race.

She added that in the US specifically, with the exception of a few outliers, many government officials have been more focused on regulating the emerging payments space in a time when collaboration and understanding are needed.

“There is a fine line between reflection and research, and paralysis.

“If we don’t transition from analyzing to actually implementing – even if it’s a small pilot – the US is guaranteed to lose the race by forfeit”, Marbury warned.

Interledger Foundation aims to build access to financial pathways around the world. Marbury brings 15 years of non-profit experience and leadership to the role, as well as a passion for promoting financial inclusion for all.

As Executive Director, Briana’s goal is to educate and bring awareness around the Interledger Protocol.

She is dedicated to expanding the public’s understanding of the technology’s immense potential to improve lives. Briana was named one of the top 100 leaders in 2022 by Fintech Magazine.

The Interledger Foundation works to support financial innovation that will create a more equitable and creative society through an open payments network where anyone can easily earn, share, buy, sell and trade with anyone else in the world.