There's really no explanation about what's new or clever about this. You don't need a blockchain to create a centralized, walled garden. And there's no explanation about how banks will settle. If I receive a million dollar payment and my bank now holds some settlement token, what do they do with the token if I want to wire the money over a conventional, domestic rail?

The tokens are pegged to fiat, so there's no revenue model from appreciation of the value of the token. So what is the revenue model? Are banks supposed to build this entire system and the pools of liquidity needed to make it work at their own expense with no way to profit from them? They don't fund their customer's payments today -- how does adding a token magically make them willing to do so?