Singapore (VNA) – The Monetary Authority of Singapore (MAS) and the Bank of France (BdF) on July 8 announced the successful completion of a wholesale cross-border payment and settlement experiment using central bank digital currency (CBDC).

The experiment, supported by J.P. Morgan’s Onyx, simulated cross-border transactions involving multiple CBDCs (m-CBDC) on a common network between Singapore and France, according to the joint media release.

This is the first m-CBDC experiment that applied automated market making and liquidity management capabilities to reap cross-border payment and settlement efficiencies.  

It simulated cross-border and cross-currency transactions for Singapore Dollar (SGD) CBDC and Euro (EUR) CBDC, and was conducted using a permissioned, privacy-enabled blockchain based on Quorum technology.

While the experiment was limited to two central banks, the design of the m-CBDC network enables it to be scaled up to support the participation of multiple central banks and commercial banks located in different jurisdictions. This offers great potential to simplify integration and significantly improve cost efficiencies./.