De-Dollarization Accelerates: Russia Launches SWIFT-Alternative Linking 91 Entities

Tyler Durden's picture

Back in 2013, The NSA was first exposed for secretly 'monitoring' the SWIFT payments flows. This appears to have been among the last straws for Russia (and others) as far as both NSA spying and dollar domination.

Last year, following threats to remove Russia from SWIFT by the UK, (which SWIFT rapidly distanced its 'independent-self' from), Russia (and China) announced plans to create its own de-dollarized version. In November, Russia detailed the SWIFT-alternative's launch date around May 2015, and just last month, Medvedev warned of "unlimited reaction" if Russia was cut off from the SWIFT payments system.

So the news this week that Russia has launched its own 'SWIFT'-alternative, linking 91 credit institutions initially, suggests de-dollarization is considerably further along than many expected (especially as Russia dumps US Treasuries at a record pace).


As Sputnik News reports,

Almost 91 domestic credit institutions have been incorporated into the new Russian financial system, the analogous of SWIFT, an international banking network.


The new service, will allow Russian banks to communicate seamlessly through the Central Bank of Russia.


It should be noted that Russia's Central Bank initiated the development of the country's own messaging system in response to repeated threats voiced by Moscow's Western partners to disconnect Russia from SWIFT.




Joining the global interbank system in 1989, Russia has become one of the most active users of SWIFT globally, sending hundreds of thousands of messages per day. In general, SWIFT provides a secure communication network for more than ten thousands of financial institutions around the world, approving transactions of trillions of US dollars.


Earlier this month Russian Deputy Prime Minister Igor Shuvalov expressed confidence that Russia would not be disconnected from SWIFT. In her turn, Russian Central Bank First Deputy Chair Ksenia Yudaeva called upon Russian civilians and financial institutions not to dramatize the current situation.


Russian experts point to the fact that Western businesses would face severe losses if they expelled Russia from the international SWIFT system. On the other hand, the alternative system launched by Russia might reduce the negative impacts caused by measures imposed by the West, including possible disconnection from SWIFT, and diminish Western financial dominance over Russia.

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SWIFT (The Society for Worldwide Interbank Financial Telecommunication) is a Belgium-based international organization that provides services and a standardized environment for global banking communicating that allows financial institutions to send and receive messages about their transactions.

The core of SWIFT's work is a secure financial messaging service that communicates payment orders to be settled at correspondent accounts — accounts that one financial institution holds with another financial institution.


The network has become key to the functioning of Russia's financial system since the first bank began to use the service in 1989.


About 360,000 such messages are sent daily, making Russia the second most prolific user of SWIFT in the world, the head of SWIFT in Russia, Roman Chernov, told a conference last year, according to RIA Novosti. Over 600 Russian financial institutions use SWIFT, which saw a 40 percent growth in its traffic in 2014, he said.

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BlindMonkey's picture

Oh.  This is going to go over well.  



Self-enslavement's picture

World Zionism (WZ) is the power to "counterfeit money” to enrich only themselves, the power to tax all others, and immoral pernicious usury, the three of which combine to plague the entire human race and cause massive debt-slavery and starvation worldwide for all. Also the power to evade all criticism, law enforcement and agreements internationally. Such nice people. I hope Russia and China drop a Nuclear Bomb on Israel.

Silver Short Seller's picture

US supremecy has decades to run. No country or economy is coming close to replacing the USD's role in the global economy.

Typical ZH US bashing.

bag holder's picture

The "global economy"... is that the shiploads of Chinese shit off Long Beach? The NSA-infected hard drives in every computer in the world? The millions of barrels of oil Americans piss away daily?

Seems we'd be better off without the "global economy".

philipat's picture

Just out of interest, how will this work outside Russia? Will it be RUB-based? Will it operate outside Russia through Branches of Russian Banks or will foreign Banks be expected to join? If the latter, will they be allowed to do so by our free and democratic Governments?

Macchendra's picture

Bilateral agreements.  Weird, huh?

Son of Loki's picture

How do you say, "Yes we can!" in Russian ?

SumTing Wong's picture

How d oyou say, "It's on like Donkey Kong" in Russian?

winchester's picture

wait,  december they said MAY... but now in mid february they launch it ?

why a such fast acceleration in the schedule ... from 6 months announce they go with 2, mean, 3 times less... hmmmm


i think they want to be in control of their money when ukrain spot  expend to whole europ. what else can it be... almost end of winter, EUSSA boots gonna go ar15_tee-shirt on ukraine soon with the A10 jets...

springs used to smell grass, and shaved legs under the dresses, now i feel like canon powder.



mkkby's picture

The Russians and Chinese are still thinking small.  How about a UN clone that doesn't invite the war mongering US/UK, or invites them but they have no more veto power than any other country.

Then everyone stops going to the old UN where westerners have all the power.

JohnnyBriefcase's picture

Do. Not. Fuck with Joobux™!


This post is dedicated to the memory of francis sawyer.

Save_America1st's picture

And Jim Willie has been warning this for the last 4 years. 


Best way to prepare for this is and has been to have been stacking phyzz silver, bitchez.  For those who were too blind and stupid to understand that all this bitchez are pretty fucking lucky.

Because phyzz silver is still on the biggest sale in the history of the fucking universe right now.  So if you haven't been paying attention up until now and also haven't been stacking???

Well, quit buying lotto tickets, you fucking retards.  Start stacking phyzz silver now while the gettin's good.

Or don't.

I really don't give a shit if you don't.  More for me and the rest of us who totally understand what stacking is all about.  We'll keep tearing that shit up on the cheap for as long as these sociopaths and psychopaths keep trashing their paper bullshit for us.

The rest of you who fall for the bullshit against stacking phyzz PM's can just go ahead and fucking suffer after the SHTF. 


Or you can pull your fucking head out of your ass and get to work stacking and prepareing. 

I don't evey know why I try anymore.  Most of the sheep-tards are barely worth it at this point. 

It's like that zombie show.  We'll just wipe out the zombies one by one.  Your choice whether you want to be a zombie or not.  I certainly don't give a fuck anymore about those who haven't woken up to help themselves at this point.

7 years of trying and most still have their heads stuffed up Kim Kardashian's big fat fucking ass and haven't done a fucking thing to prepare themselves or their families.

I hope they enjoy the view.  They can live off eating the GMO corn out of her shit for all I care anymore.  I'm done with everyone who isn't in the game at this point. 

Squid-puppets a-go-go's picture

... so tell us how you really feel.

just jerking your chain i totally feel ya, bro

Macchendra's picture

Where did the black death originate?  What about when the desperate hit the wormwood?  What then for a third of the rivers.  How did this land gain so much evil?

delacroix's picture

doesn't chernobyl translate to wormwood?

philipat's picture

I find it intriguing that "Veterans Today" is one of the few US media outlets that publishes anything remotely resembling the truth?

willwork4food's picture

Yes, I was amazed at that also. RT is another good source sometimes. Damn things are getting wierd.

philipat's picture

Yes but RT is much-maligned in the US (Also because it gets too close to the truth for DC's liking) but this VETERANS Today. Still, I suppose that serving military members (Pre-Vetaerans) don't think much of the regimen either!!

roddy6667's picture

Veteran's Today needs to be taken with a grain of salt.

willwork4food's picture

Like Polular Mechancis, they have good and the ugly. You have to do your research.

giovanni_f's picture

That's the point. No media can give you the absolute truth. VT at times has articles that are borderline mentally deficient. Yet that doesnt mean that some stuff posted on VT isn't worth reading once in a while.

But: The likes of CNN and FOX ARE government entities for all practical purposes. These bastards ARE in the business of deception, misinformation and propaganda in virtue of their business mission. While ZH and the so-called luntatic fringe may contain BS (it is the job of the reader to cross-check for plausibilty) the MSM by defintiion has a pro-War, pro-Fiat-Money, pro-big-Governnent, pro-Status-Quo, anti-Russia, anti-liberty agenda. 

gonetogalt's picture

Remember that Vt and it's sister sites are muslim sites, Duff is a muslim arming muslims through the site, and yes, a good deal of what they post is well worth reading. They just have an agenda also.

keep yer powder dry, they are.

FMOTL's picture

Red Ice has the bestest most interestingest interviews. Rock on Henrik

Element's picture



"I find it intriguing that "Veterans Today" is one of the few US media outlets that publishes anything remotely resembling the truth?"


You need to get your brain checked for a tumor - seriously.

ml8ml8's picture

Self-enslavement is a hate spewing neo-nazi.  He's put up the identical comment on several ZH posts today.  His account should be deleted.  

giovanni_f's picture

And you are an AIPAC stalker-troll?

FMOTL's picture

This is Fight Club idiot . Cant stand the heat get out of the kitchen

perchprism's picture

Self-enslavement is a cock-sucking hate-spewing troll---there, that's better. Oh yeah, and he can blow me now.

roddy6667's picture

In general, he is pointing out the obvious. America has two huge problems. One, unending war against Muslims for any reason. This costs trillions and benefits only Israel. Two, the financial rape of America on Wall Street by the bankers.

The guilty parties on both fronts are overwhelmingly Jewish.

Took Red Pill's picture

more than likely SDR's unless Russia & China go big and back their currencies with gold

philipat's picture

I doubt that because, in its present form, the SDR is dominated by USD and does not include either RUB or CNY...

Actually, if Russia wants to shore up the RUB before going to a Gold standard, it should make it RUB-denominated and insist that all energy-related payments are made through its new system. Then watch the RUB climb rapidly as oil and gas customers have to buy RUB to pay for energy.

KingGenius's picture


If you can get your hands on the RUB and enjoy currency exchange, it's on sale like buying clothes the week after Christmas. On top of that the USD is sitting on top right now. Give a little get alot. 



The Wizard's picture

How about this: A new SWIFT and a new SDR. BRICS SDR to bailout Eurozone.

flyingpigg's picture

The Russians should be on alert for hacking attempts to crack the new swift alternative. Might be a new step in the currency war.

commander gruze?'s picture

It's rather obvious there will be some hacking attempts. Security of systems such as SWIFT and its Russian counterparty is inherently based on keeping access shut. Once security is breached there is no easy way of getting rid of attacker.

It is exactly the oposite what Bitcoin's blockchain phylosophy is: security if encryption keys is dispersed rather than kept centrally, thus any potential attack is limited in scope to accounts for which keys were compromised.

Scarlett's picture

They could have done it in one day with proof-of-stake.  It's much more centrally controlled and you can just type in much much $ you have, instead of having to work for it.  

Augustus's picture

This is not much more than Citi setting up a VPN between branches.  Transactions outside of Ruskie land seems to still require SWIFT.  Since Puutie has done the Sweep for hard currency from most internal banks, it will work for Rubles and little else.  Wonder how many digits the system is set up to accomodate?  Hope they looked at Zim quantaties for design parameters.

tonyw's picture

The main reason for this is to allow domestic institutions to continue to send each other messages regardless of whether or not Russia is expelled from Swift.

As the article says there are about 600 Russian entities using Swift and so far 90 or so are on the new system, expect the remainder to move across as the system proves itself.

It is good practice to build up volume in a new system, you don't just switch everything across on day one.

There are a couple of components to the Swift network:

One is a set of standard messages covering all types of financial transactions e.g. payments, statements, securities, FX confirmations ...... going from memory about 300 different message types. If i were doing this i would use the same message standards as it would be one thing less for the end users to change.

Two is a secure network that provides high certainity that the sender is who they claim to be and that messages have been received.

So, for the Swift network no tom, dick or harry can join only certified organisations such as banks, brokers and listed corporations, links are encrypted end to end so that it takes NSA strength to crack it.


If a Russian or any other bank wants to say send USD they will have to use a US based intermediary, similar for other currencies for CHF need Swiss based clearer.


No reason why this system could not be rolled out to other countries in time as an alternative to Swift if they fold to US pressure.

By the way if the US sanctions say no Russian banks may do business with USD then it doesn't matter if they are on Swift the US banks will have to comply and bar them like money laundering.

msamour's picture

If The new Russian interchange system has a different communication protocol (new and mrove one could arge), and they design their system on computers ased on the ARM chip architecture. I suspect the Chinese will get on board fairly quickly. Once the Chinese and other ASEAN countries join the new Russian Interchange system, and all transactions are denominated in Renminbi, Rubles, and other local currencies it will be very difficult for the three letter agencies of the US, an other black hat hackers around the world tocrack that system.


Intel chips, all hardware from Westernized corporatons are ful of firmware backdoors for the NSA to hack into. They are losing credibility rapidely. I am already desining my next computer that will be based on the ARM architecture running a compatibl version of Linbux on it.

pendragon's picture

seconded. maybe they could build in the sound of a toilet flushing when you click the send payment button.

whirlybird rules's picture

I get you don't like the dude, but aren't you giving him a little too much credit?

Silver Short Seller's picture

The Chinese make it cheap, the NSA keeps you safe and Saudi Arabia has almost an unlimited supply of oil. This is the most prosperous time in human history!