Loading...

Central Bank of Bhutan partners Ripples to trial CBDC

Central Bank of Bhutan

Most read

Loading Most Ready posts..

TL;DR

TL;DR Breakdown

  • Central Bank of Bhutan to trial CBDC alongside Ripple.
  • Ripple legal tussle with SEC persists.
  • Bhutan is a country in South Asia. It boders China.

The Central Bank of Bhutan, also called the Royal Monetary Authority of Bhutan, is set to begin trialing its Central Bank Digital Currency (CBDC) with Ripple, sources from Japan reports.

Ripple would integrate its distributed ledger technology into Bhutan’s existing payment system for the trial as the Ripple-powered currency would be used for cross-border remittances as well as settlement services.

According to Brad Garlinghouse, Ripple CEO, the firm is working on developing a platform that would enable different CBDCs to interoperate. He said the partnership with the Central Bank of Bhutan has existed for long.

The alliance between Ripple and the central bank of Bhutan became clear in April when Tashi Yezer, director of payment systems at the central bank, spoke at Ripple conference for the APAC region.

Before then, Ripple had revealed its private version of the XRP Ledger, explicitly designed for central banks with instant, energy-efficient, and reliable features.

David Schwartz, CTO of Ripple, unveiled the concept of federated sidechains on the XRP ledger. It enables central banks to build their networks and has published a whitepaper entitled “The Future of CDBCs.”

Despite partnership with Central Bank of Bhutan, Ripple legal battle persists with SEC

The XRP developers are still in court with the Security and Exchange Commission (SEC) over XRP to determine if it is a digital asset like Ripple claims or a Security like SEC claims.

A recent update about the court case, which has persisted for months, is that Ripple’s request for documents detailing the watchdogs’ “trading policies governing digital assets” was denied by Judge Sarah Netburn.

Things swayed from Ripple’s side after recording series of progress in the court case. However, its application for the document detailing the watchdog’s policy was denied.

Attorney James K. Filan said the U.S. magistrate judge declined to grant the defendants access to documents that would prove whether SEC employees were carrying out transactions in Bitcoin, Ether, or XRP, as it was more likely to “cause confusion” than provide any relevant findings.

Where is Bhutan?

Bhutan is a country in South Asia. It is a Buddhist kingdom on the Himalayas’ eastern edge, known for its monasteries, fortresses (or dzongs), and dramatic landscapes that range from subtropical plains to steep mountains and valleys (Wikipedia).

China borders it to the north and India to the south, east, and west. Nepal, Bangladesh, and Myanmar are located in proximity to Bhutan but do not share a land border.

The capital of the country is Thimphu which is also the largest city in the country. Bhutan is known for its natural beauty, forest conservation, gross national happiness, great culture & heritage and biodiversity. Bhutan covers 72 percent forest area of the country which is one of the large biodiversity places in the world.

Share link:

Muhaimin Olowoporoku

Muhaimin loves writing on crypto news aside from being a crypto enthusiast. He has a knack for analysing issues and updating people on what's happening around the globe. He believes that blockchain and cryptocurrency are the most useful systems of mutual trust ever devised.

Stay on top of crypto news, get daily updates in your inbox

Related News

Cryptopolitan
Subscribe to CryptoPolitan