Driving Forces for Innovations in Payment Systems be concluded that the competition was a major driving force for the enhancement of payment systems especially in euro area. In 2007, the TARGET2 was introduced instead of the TARGET. The TARGET2 was built by combining all the functions of the PIS, RTGS plus and new BIREL. Thereby, the euro area countries could broadly enjoy the benefits of the excellent functioning of an advanced payment system. Probably, a re-evaluation should be made about the importance of these advanced systems as the groundbreakers in the evolutionary process of payment systems. Introduction of CHIPS Finality At this stage, the Fedwire had an advantage of being able to provide the intraday finality, since the Fedwire was a RTGS system and payments were processed on a real-time basis. As the CHIPS was a DTNS system, where the final settlement took place only at the end of the day, there was still remained settlement risk. For this reason, some customers who wanted one-hundred percent certainty of the completion of their payment had a tendency to choose the Fedwire. Especially large companies, who had a large volume of payments, had a strong tendency to prefer the Fedwire. This meant that the CHIPS was losing a large volume of payments due to the lack of intraday finality. Against this background, the CHIPS intro- duced the "CHIPS Finality" in 2001. The CHIPS Finality is a scheme that continuously matches, makes netting and settles payment orders. By this Competition between Two Payment Systems in the US In the US, the competition between the Fedwire and CHIPS was a driving power to promote in- novation in the payment systems.