France’s central bank executed a series of bond transactions on the blockchain of its own virtual currency as a component of a 10-month pilot project.
Nearly 500 commands were executed in the number one and secondary markets, the price of trades was not disclosed, according to a report published Tuesday through the Financial Times.
BNP Paribas, Crédit Agricole CIB, HSBC and Societe Generale formed the consortium.
Run through securities depository Euroclear, the pilot also included major French banks such as France’s Public Debt Office, according to the report.
The CBDC trial is one of the largest in the EU to date, and France is one of the most prominent eurozone members to launch such an experiment. Sweden, whose Riksbank also plays with the digitization of its national currency, uses the electronic crown.
Earlier this year, the Banque de France issued a tender for “experimental” central bank virtual currency (CBDC) programs to help it perceive the dangers and mechanisms of CBDCs. The bank has also participated in a number of experiments with CBDCs for the wholesale market and cross-border bills, as well as interbank settlements.
China is lately the economy leading the implementation of a CBDC for use in its domestic market and plans to expand its CBDC testing to foreigners visiting the country at next year’s Winter Olympics, to be held in Beijing.
And although the EU and the US are not very likely to do so. USA They have still reached a complex stage, the risk of personal cryptocurrencies, by adding solid currencies connected to fiat currencies, has led several countries to seek CBDCs.
“This allocation went far beyond past blockchain allocations as it effectively tested the maximum of central custodian and central bank processes while getting rid of existing intermediate steps, such as bringing market intermediaries closer together,” said Soren Mortensen, global head of money markets at IBM. cited in the report. ” We are moving towards a basic replacement in the post-trade market infrastructure. “
