mBridge project: BIS and 4 Asian central banks on the right track!

The central banks of Thailand, China, Hong Kong and the United Arab Emirates, as well as the Bank for International Settlements (BIS) have recently collaborated on the mBridge project. These institutions have come together to carry out a pilot project which consists of using CBDC virtual currencies to carry out payment and foreign exchange transactions. The total amount of transfers made by Asian banks on the mBridge platform after six weeks amounts to almost 22 million dollars.

The mBridge project under the impetus of BIS and 4 Asian central banks is a success

mBridge: An effective solution for international payments?

BIS Innovation Huk Hong Kong Center has just collaborated with some top-notch monetary authorities in Asia. The institution did nothing by chance, and wanted to clean up everything by publishing a report on its site. In the document available to us, we can clearly read that 164 settlement or foreign exchange transactions through the platform mBridge, of a total amount of 22 million dollars, would have been carried out. These operations could be done in the space of 6 weeks.

As for the mBridge project itself, you should know that it is an international payment platform, inexpensive and compliant with CBDC standards. This pilot project also aimed to assess the how cross-border payment works. This experience was also a test to assess the effectiveness of the project. In reality, it is an experiment set up to adapt to several different legislations and digital currencies.

In other words, it was about make international payments even simpler, faster and cheaper. In addition, this mBridge pilot project is therefore a way of overcoming the problem of access to the international network encountered by developing jurisdictions and economies. A dysfunction that affects households and businesses. Indeed, they do not have real access to the international financial system to make payments.

Conclusion

In short, the mBridge project facilitates spontaneous peer-to-peer exchange between several CBDCs on the same network. Thus making international regulations more effective. VSThis type of exchange will promote better financial integration, with innovations in cross-border transfers. Financial inclusion with easy, fast and inexpensive access to cross-border payments is one of the G20 priorities.

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