The Bank of England is making progress with its Britcoin digital currency project as it released the results of the Rosalind project due to launch in July 2022.
As the idea of making cash more decentralized continues to grow in popularity, cbdc There has also been an up and coming project in different countries. Britcoin, the name of the Bank of England’s (BoE) digital currency, is also close to launch.
The digital currency, which is to be backed by the British pound, aims to maintain people’s trust in money while shielding the country’s financial system from the risk of high-profile crashes and scams that many volatile digital currencies have had to deal with. ,
The CBDC has been the subject of the ongoing Project Rosalind, which is part of a move to test the best way to implement an application programming interface (API) to a CBDC for retail transactions. The study begins in 2022 and is being handled by the Bank for International Settlements (BIS) and Bank of England.
Project Rosalind CBDC Study Results
According to a report published by BIS Innovation Hub on June 16, the study shows that using a good API can help achieve a wide range of use cases. The project saw the development of 33 API functionalities to test over 30 CBDC use cases and how they work for online and offline payments using QR codes, mobile phones, digital cards, and micropayments.
Project Rosalind seeks to explore the general benefits of a CBDC and how it might work, given the increased attention central banks are looking at. Ongoing research results suggest that CBDCs could simplify payments, facilitate the creation of more financial products, and reduce the likelihood of financial fraud.
I was told Report that “Project Rosalind demonstrated that a well-designed API layer could enable a central bank ledger to interact with private sector service providers to securely provide retail CBDC payments.”
Quant, a blockchain network, also announced that it is a part of the vendor team for Project Rosalind. The company also mentioned partnering with UST to complete the project. While the UST frontend works on the Rosalind API layer, the Quant team provides the infrastructure and blockchain platform to provide smart contracts and easy interoperability.
The company said on its website He:
“We are proud to announce our role as part of the vendor team for Project Rosalind. The project, led by the Bank for International Settlements and the Bank of England, explored how application programming interfaces could be used for central bank digital currency systems.
CBDC – A Central Bank’s Response to Cryptocurrency Adoption
As cryptocurrencies become more widespread, central banks may eventually lose control over how the money supply is distributed, the general payment system, and even the economies of countries at large. However, the creation of CBDCs served as a response to these moves by central banks, placing them in a better position to compete with or displace other cryptocurrencies for transactions within the country.
Temytop is a writer with over four years of experience writing in various fields. He has a special interest in the fintech and blockchain space and enjoys writing articles in those areas. He holds bachelor’s and master’s degrees in linguistics. When not writing, he trades forex and plays video games.
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