In a significant development for the global foreign exchange market, Chainlink, in collaboration with a multinational consortium comprising more than 50 banks across 16 countries, officially unveiled Project Pangea during the Point Zero Forum in Zurich. This initiative focuses on achieving T+0 atomic settlement for the $9.6 trillion-a-day foreign exchange market, harnessing the capabilities of Chainlink’s technology together with Swift messaging services and regulated EUR and KRW stablecoins.
The project’s architecture integrates Chainlink’s oracle technology and interoperability solutions with Swift’s ISO 20022 messaging standard and settlement technologies developed by FairSquareLab. The goal is to facilitate direct Payment-versus-Payment (PvP) swaps between the two stablecoins, marking a transformative step in foreign exchange operations.
Key partners in this consortium include Qivalis, known for its euro stablecoin initiative supported by 37 European banks; UniKA (Unified Korea Alliance), comprising five core institutions—Shinhan Bank, JB Bank, Kbank, FairSquareLab, and OBDIA—along with over ten commercial banks in Korea; and FairSquareLab, which specializes in on-chain FX infrastructure.
The architecture of Project Pangea is structured on three layers. The first is the banking layer, which utilizes Swift and ISO 20022 messaging to streamline communication. The second layer is a connectivity framework facilitated by Chainlink’s Cross-Chain Interoperability Protocol (CCIP) and Data Streams to provide rapid FX market data. Lastly, the settlement layer consists of Automated Market Maker (AMM) smart contracts deployed across Ethereum, Polygon, and a specialized Pangea L1 blockchain operated by FairSquareLab. Notably, this Pangea L1 blockchain will operate as a neutral platform that is independent of any specific country or bank, enhancing trust and decentralization.
To ensure efficiency, oracle price updates will precede all transactions within each block. This mechanism guarantees that foreign exchange swaps are executed at real-time market rates, eliminating the reliance on outdated pricing, which can lead to unfavorable settlement conditions.
The Project Pangea system allows banks to utilize their existing Swift payment infrastructure, with instructions routed through Chainlink’s Runtime Environment (CRE). This environment translates ISO 20022 messages into on-chain settlement actions, negating the need for banks to overhaul their internal systems. The Depository Trust & Clearing Corporation (DTCC) has similarly selected the CRE layer for its upcoming 24/7 tokenized collateral platform, aiming for a launch in the fourth quarter of 2026.
Currently, cross-border foreign exchange transactions often necessitate the conversion of capital through intermediary currencies, which introduces delays and liquidity challenges. Project Pangea aims to streamline this process by enabling direct atomic swaps at oracle-verified prices.
Fernando Vazquez, President of Capital Markets at Chainlink Labs, emphasized the impact of Project Pangea, stating, “This initiative upgrades the fragmented foreign exchange model of today with direct, atomic currency swaps using stablecoins. This is a clear signal that global finance is increasingly moving on-chain.”
The unveiling of Project Pangea marks Chainlink’s third major institutional announcement in recent weeks, following a remarkable influx of over $1.1 billion in token value associated with CCIP earlier this month, and the launch of APAC Equities Streams, which brings real-time pricing for major companies like Samsung, Toyota, and Sony onto the blockchain.
