France Central Bank ‘Successfully’ Tests its CBDC in a Series of Government Bond Transactions

France’s central bank executed a series of bond transactions using its own digital currency and blockchain technology as part of the 10-month experiment in the country’s debt market.

A consortium of France’s biggest financial market participants, including BNP Paribas, Crédit Agricole CIB, HSBC, and Societe Generale, along with the French public debt office and Banque de France executed the transactions using a system developed by IBM, according to a report published by securities depository Euroclear, which led the trial.

“This project went well beyond previous blockchain initiatives because it successfully tested most central securities depository and central bank processes whilst eliminating current interim steps, such as reconciliation between market intermediaries,” said Soren Mortensen, global director of financial markets at IBM, in the report.

“We are rapidly moving towards fundamental change in the post-trade market infrastructure.”

Earlier this year, Banque de France published a request for proposals for central bank digital currency (CBDC) “experiment” applications to help it understand the risks and mechanisms of digital fiat.

The pilot was commissioned by the central bank of France in March last year to explore how digital fiat would exchange and settle with deals recorded on a digital ledger.

“We have together successfully been able to measure the inherent benefits of this technology, concluding that the central bank digital currencies can settle central bank money safely and securely,” said Isabelle Delorme, deputy chief executive of Euroclear France.

Get Daily Headlines

Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

What to Know More?

Join Our Telegram Group to Receive Live Updates on The Latest Blockchain & Crypto News From Your Favorite Projects

Join Our Telegram

Stay Up to Date!

Join us on Twitter to Get The Latest Trading Signals, Blockchain News, and Daily Communication with Crypto Users!

Join Our Twitter

Add comment

E-mail is already registered on the site. Please use the Login form or enter another.

You entered an incorrect username or password

Sorry, you must be logged in to post a comment.
Bitcoin Exchange Guide