3 min read.Updated: 11 Jan 2022, 10:11 PM ISTAndy Mukherjee, Bloomberg
Global payment obligations could be secured against Herstatt risk
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In any given day, you’ll find $19 trillion of payment obligations dotting the busy highway of global finance, waiting to be settled. These claims, which result from foreign-exchange trades, mostly reach their destinations without a glitch. But, blockchain evangelists claim, that is more luck than planning: Almost half this amount remains just as exposed to accidents as it did on a day half-a-century ago when liquidators showed up unannounced at a midsize German bank.