Bank for International Settlements researches CBDCs in innovation centres

23. Januar 2021

BIS innovation centres are to work more on central bank digital currency projects in the new year.

The Bank for International Settlements (BIS) has made research on central bank digital currencies (CBDCs) a top priority for its innovation hubs for 2021.

According to the new annual roadmap of the Bank for International Settlements‘ Innovation Hub (BISIH), it will „explore the usability of central bank digital currencies for faster and cheaper cross-border payments processing“. In addition, BISIH wants to test various „architectures for retail CBDCs“.

The relevant research projects will be carried out by the BIS Innovation Centres in Hong Kong, Singapore and Switzerland, in cooperation with the central banks of the respective countries.

The innovation centre in Singapore is to develop an international platform for payment processing on which banks and payment service providers can conduct transactions via various central bank digital currencies.

Meanwhile, the centre in Hong Kong is to tokenise „green bonds“, i.e. bring them in the form of crypto tokens. It is also tasked with developing a bridge for international payments via CBDCs. Various models for issuing stablecoins are also to be investigated here.

The BISIH branch in Switzerland has already conducted a feasibility study in which tokenised assets were connected and settled with existing payment systems via a so-called wholesale CBDC.

Benoît Cœuré, BISIH’s chief executive, explains in this context:

„This annual roadmap shows that our goal is to continue exploring how we can harness innovative technologies for the benefit of central banks and create public goods to optimise the financial system.“

In November, the Bank for International Settlements again made proposals for standards in the transmission of data from stablecoin issuers to the relevant supervisory authorities.