Banks have begun showing an increasing interest in alternative solutions for overseas transfers. A new trial by over a dozen banks will explore the concept of USCs, or utility settlement coins. While this sounds somewhat innovative, one has to wonder how things will play out exactly. So far, it seems unlikely this new method will create any competition for Bitcoin and other cryptocurrencies.
Although the banks partaking in this trial claim these utility settlement coins will bring positive attention to the financial sector, it remains to be seen if that is indeed the case. More specifically, most of the banking transactions already take place in the form of digital transfers. More specifically, every transaction consumers or corporations execute is primarily a digital transfer of balances, rather than physical money changing hands. As such, one could argue some form of settlement coin has been in use for some time now, although the opinions will obviously differ in that regard.