Cryptocurrencies
Central Bank Digital Currencies to Be Tested in BIS Experiment
- Participants include Singapore, Australia, South Africa
- Experiment may lead to new global digital payments platform
This article is for subscribers only.
The Bank for International Settlements will test the use of central bank digital currencies with Australia, Malaysia, Singapore and South Africa in an experiment that could lead to a more efficient global payments platform.
Codenamed “Project Dunbar,” the study aims to develop prototypes for a common platform that will enable international settlement in digital fiat currencies issued by central banks, BIS said in a release Thursday. The system would allow direct transactions in central bank digital currencies, or CBDCs, between institutions, while reducing time and cost, according to BIS.