Crypto and ISO 20022: Does ISO Compliance Really Matter? AllinCrypto August 22, 2025
The ISO 20022 global messaging standard for payments and financial transactions is due to be globally implemented by the end of 2025.
Being adopted by central banks, payment providers, and securities systems across the world, the ISO 20022 standard is important for a myriad of reasons.
For cryptocurrencies that want to integrate with the traditional financial ecosystem, compliance with ISO 20022 could determine which networks institutions adopt at scale. Among candidates positioned to benefit are Ripple’s XRP and Hedera Hashgraph (HBAR), networks designed for enterprise use.
Let’s explore the possible benefits of being ISO 20022 compliant and if it means anything for HBAR and XRP, two tokens that are poised to benefit from institutional adoption.
What is ISO 20022?
ISO 20022 is a standardized financial messaging format designed to help improve how payment and settlement services are able to communicate. The standard will replace older, fragmented formats with a more structured framework. As part of updating the standard, it will make cross-border payments more efficient and bring greater transparency.
The standard has already been rolled out by SWIFT for firms that have opted in early. Those who have opted in have reported greater transparency and efficiency in payments.
SWIFT’s adoption timeline suggests that ISO 20022 will become a global norm for transaction messaging, making it essential for networks that hope to interact with banks and payment providers.
Does ISO 20022 Compliance Really Matter in Crypto?
There is an ongoing debate in the crypto community about whether ISO 20022 compliance is really that important at all and if the messaging standard can be applied to cryptocurrencies.
There is a case that ISO 20022 compliant cryptos, or generally compliant cryptos like HBAR and XRP or XLM, for example, can offer greater transparency and trust compared to networks that are not compliant. It’s easy to also believe that crypto networks compliant with ISO 20022 will have a higher chance of being accepted for usage by banks and firms for transactions.
Going deeper, the ISO 20022 messaging standard has existed for around 20 years, first introduced in 2004. Reasons for SWIFT urging firms to adopt the standard are that some firms have not used the standard, and it would make things easier if everyone were on the same page.
Keep in mind that ISO 20022 is not a certification standard for tokens. 20022 is a financial messaging standard for exchanging data between payment systems and banks etc.
A cryptocurrency network cannot in of itself be ISO 20022 compliant, but the compliant portion can be the way that institutions integrate crypto networks into finanical systems using ISO 2022 messaging.
To clear things up, no crypto itself can have an ISO 20022 label, but some networks like XRP Ledger, Stellar XLM, and Hedera do align better with institutional messaging standards.
Highlighting Hedera and XRP: Are They Positioned to Benefit?
Hedera Hashgraph has always differentiated itself from other crypto networks by focusing on compliance, governance, and institutional trust.
The Hedera Council includes global enterprises such as Google, IBM, and LG. This type of structure provides both stability and credibility, and various qualities that align with financial institutions.
Unlike other DeFi blockchains, Hedera and Ripple were built to meet the needs of regulated industries.
For Ripple, since cracking their case with the SEC, the firm has earned newfound freedoms in how they can expand and offer finanical products in the US and abroad.
As a recognized, financially compliant network, possibly one of the most compliant in the industry, the XRP ledger is able to meet the needs of almost any institution set on utilizign blockchain technology.
Tokenization and ISO 20022
One of the biggest opportunities in finance right now is tokenization. Real-world assets such as money market funds and securities are being represented on distributed ledgers.
For these tokenized assets to interact seamlessly with banks and regulators, messaging standards may need to align with the systems already in place.
This is where Hedera’s compatibility with finanical messaging becomes a strategic advantage. Tokenized money market funds, for example, could be issued and managed on Hedera while still fitting the compliance and reporting systems that institutions rely on.
XRP and HBAR: An Institutional Advantage
With a record of working with major corporations and a reputation for energy efficiency, Hedera and Ripple’s XRP Ledger are viewed as credible platforms for regulated use cases.
Hedera Hashgraph’s governance model ensures no single entity can really dominate the network, all while still offering a level of accountability that appeals to institutions.
As banks and asset managers hope to tokenize millions of dollars in assets, Hedera’s ability to offer technical scalability and compliance makes it a strong leader. For XRP, investors await new ETFs, which will allow institutional investors to gain exposure to the growing Ripple ecosystem as it tackles international payments.
Overall, it’s not all just about being ISO 20022 aligned, but also about what the network can do for finanical institutions that other networks are not capable of.
The post Crypto and ISO 20022: Does ISO Compliance Really Matter? first appeared on AllinCrypto.
