The Bank of England has concluded a pilot to test the use of blockchain technology for international settlements. The project, which began

Key Highlights :

1. The Bank of England and the Bank for International Settlements have tested a distributed ledger technology-powered settlements system between the institutions.

2. The insights of the project will be used by the Bank of England in its real-time gross settlement (RTGS) system.

3. On April 19, BIS published a report about the joint pilot project with the Bank of England called Project Meridian.

4. According to the 44-page document, the banks have successfully purchased houses in Wales and England through the synchronization network using distributed ledger technology (DLT).

5. As the report states, the messages sent between the synchronization network and RTGS system using APIs provide a generic interface that could be “relatively easily” extended to other asset classes, such as foreign exchange.

6. This could reduce the time, costs and risks of transactions.

7. Project Meridian clearly aims to provide a settlement system for central bank digital currencies (CBDC).

8. The report is unequivocal in citing the possible benefits for central banks: However, there are several reservations about the possible use of the system.

     The Bank of England is implementing a new real-time gross settlement (RTGS) system that will allow for faster and more efficient transactions. The new system is based on the insights of Project Meridian, a research project that was funded by the Bank of England.

     Project Meridian was designed to improve the efficiency of the Bank of England’s RTGS system. The project focused on developing a real-time gross settlement system that would be able to handle large volumes of transactions.

     The project team was able to improve the efficiency of the Bank of England’s RTGS system by developing a system that is based on the insights of the market. The system is able to quickly and accurately settle transactions.

     The new RTGS system will allow the Bank of England to improve its efficiency and reduce the costs associated with its transactions. The new system will also allow the Bank of England to reach new markets and expand its reach into new areas of the economy.

     The new RTGS system is a major step forward for the Bank of England and will help the institution to continue to provide efficient and reliable services to the economy.

Continue Reading at Source : cointelegraph