- HSBC partners with Dandelion to bypass Swift, offering direct payments to over 100 destinations in 60 currencies.
- This alliance enhances HSBC’s Everyday Global Account, enabling faster, fee-free international transfers.
What happened
HSBC has announced a strategic partnership with Dandelion, a cross-border payments platform under Euronet Worldwide, to modernize international payment infrastructure. This collaboration allows HSBC clients to send funds to more than 100 destinations across 60 currencies, marking a significant shift away from traditional banking intermediaries and the Swift network. The integration is powered by Dandelion’s API, which establishes direct connections with local payment rails, streamlining transactions and reducing complexities. This development is expected to offer faster, more cost-effective, and secure cross-border payment solutions to HSBC’s customers.
Also read: Partior raises $60M to advance blockchain cross-border payments
Also read: Ant Group expands globally with cross-border payments service Alipay+
Why it is important
This partnership is crucial as it addresses the long-standing issues of high costs and slow processing times associated with traditional cross-border payments. By leveraging Dandelion’s direct-to-local connections, HSBC can now provide its customers with a more efficient and cost-effective alternative. This move is particularly significant for markets with limited banking infrastructure, as it enables reliable transactions in underserved areas. The partnership also aligns with the growing demand for real-time payments and the need for increased transparency in international transactions. Furthermore, it signals a broader trend in the financial industry towards reducing reliance on traditional correspondent banking relationships, potentially reshaping the competitive landscape and setting a precedent for other financial institutions to follow.
