BIS to Launch Real Value Transaction Testing for Digital Cross-Border Payment Project

05/28 00:45

On May 28, the Bank for International Settlements (BIS) and its partners are set to initiate real value transaction testing for the digital cross-border payment project, Project Agorá. This initiative involves BIS, seven central banks, and over 40 regulated institutions, including the Federal Reserve Bank of New York, the European Central Bank, the Bank of Japan, the Bank of England, as well as JPMorgan, UBS, and Deutsche Bank. The prototype employs a 'unified ledger' concept, utilizing blockchain technology to complete interbank transfers between different countries in seconds, facilitating 'atomic' transactions. The system retains existing sanctions enforcement and anti-money laundering screening mechanisms. BIS stated that tokenization can effectively and securely address the inefficiencies in wholesale cross-border payments. The Bank of Canada has joined the project, and more private institutions are expected to participate.
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