France and Singapore pilot cross-border CBDC transactions

The central bank of both countries France and Singapore are working on a digital currency interoperability system supporting multiple global CBDCs.

France and Singapore pilot cross-border CBDC transactions

Financial authorities in France and Singapore are actively exploring the cross-border applications of central bank digital currencies (CBDCs). 

In a joint announcement, the Bank of France and the Monetary Authority of Singapore (MAS) said that they successfully completed a whole cross-border payment and settlement experiment using CBDCs and blockchain technology. 

The digital currency experiment was conducted with the help of JPMorgan's digital currency-focused division Onyx on a permissioned, privacy-enabled blockchain based on the investment bank's Quorum blockchain infrastructure. 

As part of the experiment, the Bank of France and MAS simulated cross-border and cross-currency transactions for a Singapore dollar-based CBDC and the euro. 

While the experiment was limited to two central banks, the design of the m-CBDC [multiple CBDCs] network enabled it to be scaled up to support the participation of multiple central banks and commercial banks located in different jurisdictions, stated the announcement. 

Read: New Zealand's Reserve Bank consulting public on a potential CBDC

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