Around 100 Italian banks are now part of a permissioned blockhain network developed by R3

A cohort of 42 Italian banks has signed up to use a private blockchain network known as Spunta, bringing the total number now using the payment infrastructure to around 100.

Spunta, which is based on R3’s permissioned blockchain platform, Corda, is an interbank reconciliation system. The network verifies the matching of correspondent accounts, which banks maintain in order to pay each other. In Italy, the process has historically been carried out in the back office via cumbersome means. 

In theory, distributed ledger technology can simplify the process by allowing for the automatic detection of non-matching transactions and giving all network participants a comprehensive view of their transaction history.

According to a press release from the Italian Banking Association, Spunta has processed 204 million transactions since going live in March this year, and by the end of the year will have processed more than 350 million. Eighteen of Italy’s largest banks, representing 78% of the market by headcount, are involved in the project.

About Author

Ryan Weeks is deals editor at the The Block, focused on fundraising, M&A and institutional trends in the crypto space, among other things. He is particularly interested in investigative work — so please send tips! Ryan previously worked at Financial News, Dow Jones as a fintech correspondent in London. Prior to that, he wrote for several different publications, including Sifted, AltFi and Wired. Beyond journalism, Ryan is a keen reader and writer. He enjoys all things active, especially running, rugby, climbing and tennis.