According to a November 2 statement from the Reserve Bank of Australia, the financial institution will work with the Commonwealth Bank, National Australia Bank, Perpetual Financial Services and software company ConsenSys on a project to investigate the potential use of the central bank. Digital currency in the country. It uses “Ethereum based distributed registry”.

The Reserve Bank of Australia said it would study developing evidence for the concept of “issuing a token form of central bank digital currency”. It specifically mentioned wholesale market participants who might have used the digital currency to obtain token syndication loans on the DLT platform, and examined the implications for shipping security versus payment with nuclear links across it.

“As part of this project, we aim to study the impact of CBDC on efficiency, risk management and innovation in financial market operations of the wholesale market,” said Michael Bullock, Deputy Governor of the Reserve Bank of Australia.

He added: “Although the possibility of using CBDC in these markets remains an open question, we are pleased to work with industry partners to see if there will be a future CBDC role in the Australian payment system.”

This step is part of the ongoing RBA reflection of CBDC policy. On October 14, the head of the RBA’s payment policy division said the bank would continue to consider CBDC, despite the fact that the financial institution said there was no binding case for its September issuance.

As an alternative to issuing the CBDC, the bank noted the success of a new, efficient real-time payment platform and said it was ready to provide access to banknotes “as long as Australians continue to use it”.

The central bank said the project will be completed by the end of the year and will release a report in 2021.

Source: CoinTelegraph