Davos-launched blockchain project aims to be the ‘SWIFT’ of stablecoins and CBDCs
A Hong Kong-based blockchain firm has launched a digital funds system aimed toward bridging the hole between stablecoins and central financial institution digital currencies (CBDCs).
Pink Date Expertise, the blockchain infrastructure agency that can also be main one among China’s blockchain efforts, launched the Common Digital Fee Community (UDPN) on Jan. 19 through the World Financial Discussion board (WEF) 2023 assembly in Davos, Switzerland.
Tech engineering firm GFT Applied sciences and the digital asset creation engine TOKO from regulation agency DLA Piper are additionally contributors to UDPN growth.
According to its white paper, the UDPN is a distributed ledger know-how (DLT) platform that may serve the same goal to what the SWIFT community does for banks, aside from stablecoins and CBDCs.
“Simply because the SWIFT community created the unique frequent customary for messaging between monetary establishments throughout completely different settlement methods, the UDPN will serve the identical goal for the rising technology of CBDCs and stablecoins.”
In accordance with a Jan. 19 press launch, a “variety of world tier 1 banks” are already concerned in use case proof of ideas (POCs) to check the community in cross-border transfers and swaps.
The discharge didn’t disclose which banks had been participating within the POCs, however Deutsche Financial institution, HSBC, Commonplace Chartered, The Financial institution of East Asiaand Akbank had been represented on a panel on the UDPN launch in Davos.
The stablecoins for use within the POC had been additionally undisclosed. The networks whitepaper does state, nevertheless, that it solely helps “CBDCs and controlled fiat-backed stablecoin foreign money methods as cost strategies,” including:
“No unregulated public-chain crypto-currencies, reminiscent of Bitcoin, might be accepted.”
Eight different proof-of-concept assessments are scheduled for the community, together with issuing and circulating a CBDC and bank-issued stablecoin and utilizing UDPN as a cost gateway for e-commerce.
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The UDPN has been in growth by Pink Date for almost two years,
Earlier than launching this digital funds system, the corporate was recognized for its work on Blockchain-based Service Community (BSN), China’s nationwide blockchain mission.
In a now-deleted roadmap posted on Jan. 15, 2021, the BSN mentioned it deliberate to construct a world CBDC system that “will fully change the present cost and circulation technique, enabling a standardized digital foreign money switch technique and cost process for any data system.”
The most recent white paper makes no point out of Pink Date’s involvement in steering China’s blockchain mission, nor of the nation’s personal CBDC efforts with its digital yuan.
A spokesperson for the mission informed Cointelegraph there may be “no connection by any means between BSN and UDPN” because the latter is “managed and ruled in a decentralized method.”
In June, Pink Date’s CEO, Yifan He, known as cryptocurrencies the “largest Ponzi scheme in human historical past.”
Replace (Jan. 23, 6:40 AM UTC): Added remark from UDPN spokesperson.
