Singapore Central Bank Tokenizes its Dollars on Blockchain
Singapore Central Bank trials digital tokens linked to national currency. The report releases by the Central Bank discusses the work that was done between the Monetary Authority of Singapore and a group of domestic banks as well as Deloitte, and R3.
The project is called UBIN which will entail creating a tokenized form of the Singapore Dollar on a distributed ledger. The first phase of the trial was conduected at the end of last year. The Project Ubin initiative itself relied on a private ethereum network that was created for the test. Those involved in the project also tested Quorum – a private ethereum implementation developed by JPMorgan – to assess its privacy management tools.
The overall outcome of the trial, according to MAS, was positive, with the report's authors saying Project Ubin's first phase "was successful as it has brought together a wide range of parties". Further, it managed to build a "working interbank transfer prototype on a private ethereum network".
Looking ahead, MAS hopes to expand on the Ubin concept and build further capabilities into the platform.
"Future phases would focus on future operating model of Project Ubin, further technical analysis, focus on securities settlement by developing DvP and Cross-border payments (PvP)," MAS said.