econintersect.com
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자
No Result
View All Result
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자
No Result
View All Result
econintersect.com
No Result
View All Result
Home Business

EU Central Banks Focus On DLT-Based Asset Settlement

admin by admin
11월 5, 2021
in Business, Finance
0
Top Five U.S. Regional Lenders With Most Uninsured Deposits
0
SHARES
0
VIEWS

Most of the European central banks have been increasing their efforts to use digital ledger technology (DLT). DLT is the foundation of blockchain and financial institutions are aiming to use the technology in central bank money settlements.

DLT technology

Deutsche Bundesbank and Banca d’Italia, the central banks of Germany and Italy, respectively, partnered to work on settlements on central bank money to different DLT-based asset exchanges. They then shared their experiences on this technology-based settlement in a workshop.

Their official announcement insisted that the main aim of the joint workshop was not to utilize DLT as a replacement for traditional systems. Instead, this initiative strives to complement the current central bank money settlement efforts with a programmable trigger mechanism that links the DLT-based asset, like a tokenized security, and cash to get settled through conventional payments networks.

If adopted, this new system would mitigate the counterparty risk for both sides. It would preserve the delivery-versus-payment method of settlement, according to the announcement. This programmable trigger will complement the digital euro and even act as a technical bridge between the current payment systems that are used by the Eurosystem central banks and the DLT-based infrastructure used for the settlement of tokenized assets.

Buy Crypto Now

The Potential Opportunities That DLT Brings

DLT can introduce new products and services, generate extra revenue streams, and minimize operating costs. The technology can also make several organizational structures more efficient as explained by Ignazio Visco, the Italian central bank governor. He explained that an infrastructure-level DLT adoption in most of the traditional markets would take some time:

“because of the necessary in-depth investigations and cost and risk assessment.”

Deutsche Bundesbank President Jens Weidmann stated:

“If market participants want to reap the benefits of new technologies like DLT for the settlement of tokenized assets, central banks should support that by enabling the settlement of the responding cash leg in secure central bank money.

The tested trigger solution could well serve the market’s need and keep central bank money in the systems run by central banks. In comparison to creating wholesale central bank digital currency, a trigger solution could be operational in a much shorter time frame.”

Deutsche Bundesbank, Deutsche Boerse, Germany’s Finance Agency did a pilot test with the participation of Goldman Sachs, Commerzbank, Citibank, Barclays, DZ Bank and Societe Generale. They tried to bridge traditional finance with distributed ledger technology in March 2021.

At the time, the German Finance Agency issued a 10-year federal bond using the DLT trigger system. Moreover, it tested securities trading on primary and secondary markets as part of this pilot project.

Tags: bankingbanksBarclaysblockchaincentral banksCitibankCommerzbankcryptocurrencycyptodigital currencyDLTDZ Bank Societe GeneraleEuropefiatfinance technologyGermanyGoldman SachsItalyregulation
Previous Post

Binance Joins France FinTech To Unleash A $116M Crypto Initiative In Europe

Next Post

NFTs Will Not Be Regulated – South Korea’s FSC

Related Posts

Namibia Will Regulate And Not Ban Crypto With New Law
Finance

Namibia Will Regulate And Not Ban Crypto With New Law

by admin
Bitcoin Stumbles As Macro And Regulatory Concerns Arise, What Next?
Economics

Bitcoin Stumbles As Macro And Regulatory Concerns Arise, What Next?

by admin
SEC Accepts BlackRock’s Spot Bitcoin ETF Application
Business

SEC Accepts BlackRock’s Spot Bitcoin ETF Application

by admin
US Senate Finance Committee Asks Crypto Community How To Tax It In Open Letter
Business

US Senate Finance Committee Asks Crypto Community How To Tax It In Open Letter

by admin
Arkham Intel Firmly Denies Affiliation With US Government Amid Criticism Over Privacy
Business

Arkham Intel Firmly Denies Affiliation With US Government Amid Criticism Over Privacy

by admin
Next Post
NFTs Will Not Be Regulated – South Korea’s FSC

NFTs Will Not Be Regulated – South Korea’s FSC

답글 남기기 응답 취소

이메일 주소는 공개되지 않습니다. 필수 필드는 *로 표시됩니다

Browse by Category

  • Business
  • Econ Intersect News
  • Economics
  • Finance
  • Politics
  • Uncategorized

Browse by Tags

adoption altcoins bank banking banks Binance Bitcoin Bitcoin market blockchain BTC BTC price business China crypto crypto adoption cryptocurrency crypto exchange crypto market crypto regulation decentralized finance DeFi Elon Musk ETH Ethereum Europe Federal Reserve finance FTX inflation investment market analysis Metaverse NFT nonfungible tokens oil market price analysis recession regulation Russia stock market technology Tesla the UK the US Twitter

Categories

  • Business
  • Econ Intersect News
  • Economics
  • Finance
  • Politics
  • Uncategorized

© Copyright 2024 EconIntersect

No Result
View All Result
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자

© Copyright 2024 EconIntersect