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The Central Bank of Singapore is preparing to launch a payment system on the blockchain and tokenization of SGD

The Central Bank of Singapore is preparing to launch a payment system on the blockchain and tokenization of SGD

The monetary authority of Singapore (MAS) is ready to deploy Project Ubin — a multi — currency payment system on the blockchain-for commercial use.

Singapore authorities said that the project of a blockchain-based payment system, Project Ubin, has been completed and is ready for commercial launch. For the first time, MAS is working with a group of banks, consulting company Deloitte and the R3 consortium to create a “digital Singapore dollar” (SGD) — the Project Ubin initiative — it became known
in 2017.

At the final stage of the project, MAS worked in collaboration with the Singapore investment company Temasek and the us investment Bank JPMorgan. Singapore’s regulator successfully completed
development of a prototype of the payment network in November 2019. Since then, the authorities have been testing the system.

According to the official statement
MAS, the payment network will provide an interface that will allow “other blockchains to seamlessly connect and integrate” with the system. As reported
Reuters, the system will also allow for faster and cheaper cross-border payments in multiple currencies, currency exchange and settlements on currency-denominated securities.

Last month, MAS managing Director Ravi Menon said that the country plans to work closely with China to experiment with the state-owned cryptocurrency.

Recall that in may last year, the Central banks of Canada and Singapore completed
testing cross-border payments using the blockchain and the digital currencies, issued by banks. As part of this initiative, banks have combined their projects on the Jasper and Ubin blockchain.