Key Points:
SWIFT simulated approximately 5,000 transactions across two alternative blockchain networks and conventional currency payment systems during a 12-week testing period, according to a statement released on March 9.
The survey included over 18 financial organizations from across the globe, including the Royal Bank of Canada, Banco de France, Société Générale, BNP Paribas, Monetary Authority of Singapore, HSBC, Deutsche Bundesbank, NatWest, and others.
The project, which included banks such as BNP Paribas in France, Intesa Sanpaolo in Italy, and Standard Chartered in the United Kingdom, as well as central banks in France and Singapore, will now move on to a second phase of testing to evaluate applications such as trade finance and securities settlement.
Additionally, SWIFT said there was a high degree of agreement among participants on how CBDCs are anticipated to work. SWIFT intends to operate a second phase of its CBDC sandbox and develop its CBDC interlinking solution into a beta version for payments with greater atomicity in the coming months.
The company said that it is moving on to the second phase of testing due to the positive findings of the first phase. The first study, which included around 18 central and commercial banks, aims to determine if CBDCs can travel between Distributed Ledger Technology (DLT) and the infrastructure that underpins the existing financial system.
The OMFIF Digital Monetary Institute predicts that 24% of central banks will create a CBDC solution during the next two years. Approximately 110 central banks worldwide are now studying CBDC use cases. Lewis Sun, HSBC’s global head of domestic and developing payments, stated:
SWIFT said in October that it had devised a solution that would allow CBDCs to transition between DLT-based and fiat-based systems while using the current financial infrastructure. The sandbox testing environment was created so that central and commercial banks may experiment with the solution to assess its efficacy and exchange insights to help steer its development.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu
Harold
Coincu News
Discover the best cryptos to buy and hold today: Qubetics leads with 1000x potential, Ethereum…
With the platform facing a cracked whip, Trump Media company is expanding into new business…
Major crypto firms, including Ripple, Kraken, and Circle, are competing for spots on President-elect Donald…
Analysts highlight a breakout alert as Shiba Inu (SHIB), and Dogecoin show signs of recovery…
SEC Chair Gary Gensler will step down on January 20, 2025, coinciding with President-elect Donald…
The MicroStrategy convertible notes offering, initially set at $1.75 billion, was increased to $2.6 billion…
This website uses cookies.