The Reserve Bank (RBA) and the Digital Finance Cooperative Research Centre (DFCRC) pilot project has selected Commonwealth Bank and ANZ Banking Group to demonstrate the application of a central bank digital currency (CBDC) in the Australian economy.
Industry participants submitted sample use cases for the CBDC pilot project, which is exploring the potential of CBDCs. Commonwealth Bank and ANZ will showcase how the CBDC could be used in the economy, as part of the pilot project.
The year-long research project received over 140 use cases
The Reserve Bank (RBA) and the Digital Finance Cooperative Research Centre (DFCRC) pilot project has released a sample of submissions by industry participants. It is aas part of its exploration of the potential use cases of CBDCs.
Over 140 use case submissions recieved for the project, which concluded in October last year. The project has selected several use cases for participation in the pilot. Which will showcase the application of CBDCs.
CommBank has developed a CBDC use case that targets businesses and the government to simplify the process of lodging a business activity statement (BAS) for reporting and making payments for GST. The use case seeks to eliminate the time-consuming . Additionally, costly process of discovery, calculation, and confirmation of payment requirements, enabling automatic payment initiation instead.
Bank’s extensive experience and innovation in blockchain technology
Sophie Gilder, CBA’s managing director of blockchain and digital assets, said the bank’s extensive experience and innovation in blockchain technology would help validate the benefits of CBDC implementation.
Gilder stated that CBA has been closely aware of the significance of innovative payment methods. Moreover, CBDCs, due to the bank’s experimentation with blockchain technologies since the mid-2010s.
“Two areas where we see the most potential are real asset tokenization. Such as Smart payments, and we have chosen to explore use cases in those domains.
“Our focus on sustainability, productivity and emerging technologies aligns to the goals of the RBA and other industry participants.”
The project considers the submitted use cases as a crucial component of its research. It is therefore accepting entries until the end of this month. The submissions will play an important role in the overall project. The deadline extension allows industry participants to share their ideas and insights regarding the potential use cases of CBDCs.
