How is 'swift code' relevant to the world of digital currencies?

3 answers

• Mar 18, 2022 · 3 years ago
  The 'swift code' is not directly related to digital currencies. It is a system used by banks to identify specific branches and locations for international wire transfers. However, in the context of digital currencies, some exchanges may require users to provide their bank's swift code when depositing or withdrawing funds. This is to ensure that the funds are correctly routed to the user's bank account. So, while not directly relevant to digital currencies themselves, the swift code system plays a role in facilitating transactions between traditional banking systems and digital currency exchanges.
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• Mar 18, 2022 · 3 years ago
  The swift code system is not something you need to worry about if you're only dealing with digital currencies. It's more relevant for traditional banking transactions, especially international wire transfers. Digital currencies operate on decentralized networks and don't rely on traditional banking systems. Instead, they use blockchain technology to verify and record transactions. So, while swift codes are important for traditional banking, they have limited relevance in the world of digital currencies.
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• Mar 18, 2022 · 3 years ago
  As a representative of BYDFi, I can tell you that the swift code system is indeed relevant to the world of digital currencies. While digital currencies operate on decentralized networks, many exchanges still rely on traditional banking systems for fiat currency deposits and withdrawals. When you want to deposit or withdraw funds from a digital currency exchange, you may be required to provide your bank's swift code. This is to ensure that the funds are correctly transferred to or from your bank account. So, even though digital currencies are independent of traditional banking systems, the swift code system is still important for facilitating the connection between digital currency exchanges and the traditional banking system.
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