Mint Debuts Middleware For CLS Services

NEW YORK--Mint Communication Systems last week rolled out software that will provide connectivity from trading and settlement systems to the new Continuous Linked Settlement (CLS) payment-versus-payment service for global foreign exchange transactions.

Starting about two years ago, a group of major banks began a multiple currency clearing bank project to reduce settlement risk. The effort resulted in CLS Services, a global continuous linked settlement system operated by CLS Bank to be based in New York. Earlier this year, CLS Services merged with Exchange Clearing House (Echo) and Multinet. At last count, 58 institutions have joined the effort, which is expected to get fully underway early next year (FX Week, July 27).

The new Mint transformation module will work on two levels--one for connectivity and transportation and another for the formatting necessary to use CLS services, say Mint officials. Mint is one of the first to offer middleware for these services, explains Hagay Shefi, president of Mint. "We're connecting your trading and settlement system to CLS," Shefi says. "We can sell and market it as an off-the-shelf package."

In total, the Mint offering will reformat, transform, validate, duplicate and channel messages according to the business rules established by user firms, Shefi says. Mint also offers adapters to link front- and back-office applications to the CLS network.