Bank for International Settlements Invites Private Firms to Collaborate on CBDC Project

Bank for International Settlements Invites Private Firms to Collaborate on CBDC Project

The Bank for International Settlements (BIS), through its innovation hub, BIS Innovation Hub, is inviting private companies to join its central bank digital currency (CBDC) project, mBridge. The move is aimed at expanding the platform's capabilities as it enters the minimum viable product (MVP) phase. According to Cointelegraph, the BIS Innovation Hub's head of research, Benoît Cœuré, highlighted the importance of private sector involvement in developing the mBridge platform. He emphasized that private firms can contribute their expertise in cross-border payments and provide valuable feedback on the platform's design and functionality. The mBridge project, launched in 2021, is a collaborative effort between the BIS Innovation Hub and central banks from various jurisdictions, including the European Central Bank, the Bank of Japan, the Bank of Canada, and the Swiss National Bank. The project aims to explore the potential of CBDCs in facilitating cross-border payments, enhancing financial inclusion, and improving the efficiency and resilience of the global financial system. The inclusion of private firms in the mBridge project is a significant step towards realizing the project's objectives. Private companies can bring specialized knowledge and practical experience in cross-border payments, helping to ensure that the mBridge platform meets the needs of the market. Their involvement can also foster innovation and competition, driving the development of robust and user-friendly CBDC solutions. The BIS's decision to invite private firms to participate in the mBridge project underscores the growing recognition of the potential of CBDCs in transforming the global financial landscape. As central banks worldwide continue to explore the issuance and implementation of CBDCs, collaborations with private sector players can accelerate the development and adoption of these transformative technologies.