The German federal bank Deutsche Bundesbank has successfully tested a project that links traditional financial infrastructure with blockchain technology.
Despite the current global rush from central banks to learn about the central bank’s digital currency technology, a test conducted by the German central bank in conjunction with the Deutsche Boers Group and the German financial bureau requires the issuance of ICBs or some tokens. generally.
The system is assumed to be based on two software modules that form the link between the Bundesbank’s internal system and distributed general ledger technology. Instead of creating a token-based system, the bank simply created an interface that starts with a “trigger”, which means that the transaction has taken place and funds can move safely.
Germany makes no secret of the fact that it is not very interested in the CBD. The reason for this may be that the Bundesbank’s position as the most influential member of the European Central Bank system makes it the institution with the most influence to lose. This view was held by the German politician Burkhard Balz himself in 2020.
In announcing the recent Bundesbank tests, Balz, who is also a member of the Bundesbank’s Executive Board, suggested that the entire Eurosystem could adopt the technology much faster than the CBDC could trigger.
“After successful testing, the Eurosystem should be able to implement such a solution in a relatively short time – at least in a much shorter time than, for example, issuing digital currency to the central bank,” Bales said. …
As part of the audit, the German financial agency issued 10-year federal bonds through the DLT operating system with a revision of securities trading in the primary and secondary markets. The test was attended by representatives of Citibank, Barclays, Goldman Sachs, Commerzbank, DZ Bank and Société Générale.