tl;dr
Indonesia has completed a Proof of Concept (PoC) for its central bank digital currency (CBDC), aiming to introduce a digital rupiah to complement existing payment options. The PoC tested distributed ledger technology (DLT) platforms and explored smart contract use cases. Bank Indonesia plans to rele...
Indonesia Concludes Proof of Concept for Wholesale CBDC
Bank Indonesia has announced the completion of a Proof of Concept (PoC) for its central bank digital currency (CBDC), aiming to introduce a digital rupiah to complement existing payment options. The PoC tested distributed ledger technology (DLT) platforms and explored smart contract use cases. Bank Indonesia plans to release a consultative paper as part of the next phase.
Additionally, Société Générale and the French central bank have completed a blockchain-based repo transaction, signaling potential for improved efficiency and liquidity in digital financial securities.
Indonesia Concludes Proof of Concept for Wholesale CBDC
Indonesia has completed a Proof of Concept (PoC) for its central bank digital currency (CBDC), with Bank Indonesia Governor Perry Warjiyo confirming the suitability of a distributed ledger technology (DLT)-based system for CBDC. The PoC tested R3’s Corda and Hyperledger Besu, exploring over 50 predefined metrics and smart contract use cases to improve liquidity management in the payments space.
While Indonesian authorities are making strides towards CBDCs, the country faces skepticism for digital assets due to recent events triggering regulatory clampdowns to protect investors.
Société Générale and Banque de France Wrap Up Blockchain Repo Transaction
Société Générale and the French central bank have completed a blockchain-based repo transaction involving digital securities, marking a significant step in addressing liquidity issues in digital financial securities. The transaction demonstrates the technical feasibility of interbank refinancing operations directly on blockchain and the potential for a central bank digital currency to improve liquidity.
Blockchain-based repo transactions are expected to broaden market participation and enhance efficiency through real-time settlements, smart contract automation, and reduced counterparty risks.
RBI Sees CBDC as Future of Money; Eyes Nationwide Rollout of ULI
Meanwhile, the Reserve Bank of India (RBI) views CBDC as the future of money and plans a nationwide rollout of the Unified Light Interface (ULI) to bolster digital financial services.