Three Countries Will Test DeFi in Foreign Exchange Transactions

Decentralized finance applications continue to spread around the world. The Bank for International Settlements made an important statement regarding the crypto industry on its website. According to the statement on the BIS website, the central banks of Switzerland, France and Singapore; plans to automate digital currency (CBDC) transfers using decentralized protocols to reduce international payment costs.

The project coordinated by the BIS Innovation center was named “Project Mariana”. According to the statements, the development of the Mariana project will continue until the middle of 2023. Central banks of research partner countries will explore the impact of DeFi technologies on forex markets with Project Mariana. The main goal is for decentralized finance to be an automatic liquidity provider in the foreign exchange market. In addition, new data will be obtained on how digital currencies (CBDC) can be used in international transfers.

Cecilia Skinsley, one of the BIS Innovation Center directors, made the following statement after the announcement:

“Project Mariana is a pioneering project in this field. The three countries’ central banks will jointly explore the applications of CBDCs on decentralized finance.”

Skinsley underlined that the Mariana project is the first collaborative project in the Innovation center and stated that they hope to see more in the future.