IBM and Stellar announced a partnership settling real cross-border payments using lumens as a bridge currency across Pacific currencies. The platform integrates private and public blockchain, with IBM handling transaction clearing while Stellar's blockchain conducts settlement.
IBM revealed at Sibos 2017 a partnership with Stellar that successfully settled real cross-border transactions using lumens, initially connecting British pounds and Fijian dollars with plans to scale to seven South Pacific currencies. The platform demonstrates how private and public blockchains work together: IBM's blockchain manages transaction workflows while Stellar's blockchain handles actual settlement, with lumens serving as a bridge currency for nearly instant exchange without consumers touching cryptocurrency. The project involves major partners including National Australia Bank, TD Bank, and KlickEx, operating under APFII, a UN and Swift-founded organization. IBM's Jesse Lund indicated this is foundational work toward supporting multiple digital assets and central bank digital currencies.