This avoids the creation of ‘bottlenecks’ in the processing flow and enables TIPS to be very fast and to achieve system resilience. It is worth emphasizing that this architecture differs from distributed-ledger systems (such as the Bitcoin network, based on a block chain) which need to generate trust and consensus among a distributed community by means of an expensive and energy-intensive global validation process.
In the case of TIPS, the recognition and guarantee of the transactions comes from the trust provided by the Eurosystem (a typical task for a central bank). This also allows TIPS to be ‘green’.