Category: SmartContract

Kiffmeister’s #Fintech Daily Digest (20260319)

~ kiffmeister

Bank of Korea Launches Full-Scale Implementation of “Project Han River” Phase 2 (BOK)

The Bank of Korea (BOK) announced Phase II of Project Hangang. It aims to trial large-scale, won-pegged deposit tokens built on a wholesale central bank digital currency (CBDC) layer, to cut transaction costs for both major corporations and small merchants burdened by credit card fees, building on Phase I’s system build out and 2025 live pilot. Participating banks will expand from 7 to 9 and merchant coverage will be significantly broadened. Phase II will test person to person transfers, biometric authentication, and automatic deposit token funding and sweep out. It will also deepen programmability, using digital vouchers in blockchain based treasury pilots such as an electric vehicle (EV) charging infrastructure project, and continue experiments with AI agent payments and tokenized bonds and equities. The 2026 agenda includes support for government treasury execution, and external consulting on regulation and operating models, with a Phase III vision of low cost universal payments, programmable financial services, and infrastructure for Korea’s broader digital asset ecosystem. [BOK]

ECB Calls for Experts to Participate in Digital Euro Rulebook Development (ECB)

The European Central Bank (ECB) launched a call for experts to join two workstreams under the digital euro Rulebook Development Group (RDG) to support further development of the digital euro scheme rulebook, which will set common rules, standards and procedures for using the digital euro across the euro area. One workstream (G5) will focus on implementation specifications for ATMs and payment terminals, including communication technologies, integration of offline digital euro functionality and leveraging existing standards, requiring expertise in ATM and terminal interfacing or provision. The other (B1) will design a certification and approval framework for testing and certifying payment and acceptance solutions and infrastructure used by payment service providers in the digital euro ecosystem, requiring expertise in payments and acceptance devices. The ECB notes that the flexible draft rulebook will be updated to reflect the outcome of the EU legislative process, with any decision to issue a digital euro to follow only after legislation is adopted. [ECB]

ECB Workshop on Pontes Platform Decentralized Programmability (ECB)

The ECB published an updates to its Pontes project aimed at enabling the settlement of distributed ledger technology (DLT) transactions using central bank money (CeBM). Pontes is the near-term DLT-based interoperability solution linking DLT platforms with TARGET Services so DLT transactions settle in CeBM, using API-based trigger and hash-link mechanisms and dedicated DLT cash wallets funded from TARGET accounts. The update focused on a workshop on market-developed smart contracts deployed by national central banks on the Eurosystem DLT (“decentralized programmability”) that would enable cash-locking for delivery-versus-payment, programmable payments, microtransactions, DLT interoperability, and automated corporate actions. [ECB]

Consultation on the Eurosystem’s Appia Project (ECB)

The ECB also published an update to its Appia project aimed at enabling the settlement of DLT transactions using CeBM. Appia is the longer-term initiative to provide tokenized CeBM for DLT-based wholesale markets via a unified settlement ecosystem. The update concerns the launching a formal consultation inviting market and public authorities to comment on Appia’s proposed DLT‑based wholesale ecosystem design and six‑block workplan via a structured questionnaire due 22 April 2026. Feedback will shape standards, governance choices, cross‑border linkages, and prioritization of analytical and practical work toward a 2028 blueprint. [ECB]

SEC Approves Nasdaq’s Securities Tokenization Plan (SEC)

The U.S. Securities and Exchange Commission (SEC) approved a Nasdaq rule change allowing certain listed securities to clear and settle in tokenized form via a Depository Trust Company (DTC) tokenization pilot. The order authorizes trading tokenized versions of large-cap equities and major index exchange-traded funds (ETFs) on the same order book, with identical CUSIP, symbol, rights, and execution priority as traditional shares, with tokenization preferences expressed through an order flag and implemented post‑trade by DTC. This embeds distributed-ledger-based entitlements within existing exchange, clearing, and surveillance infrastructures, preserves T+1 settlement, and treats tokenized and traditional shares identically for fees, market data, and audit trail. The SEC frames the decision as technology‑neutral, while leaving broader questions about alternative tokenization models, issuer choice, and future non‑fungible tokenized instruments to subsequent rulemakings. [SEC]

Zero-Knowledge Proof Authentication for Offline CBDC Payments (arXiv)

Santanu Mondal and T. Chithralekha propose a hybrid offline central bank digital currency (CBDC) architecture that uses zero-knowledge proofs (ZKPs) and secure hardware to enable cash-like payments on resource-constrained internet of things (IoT) devices while preserving regulatory oversight. The system combines a two-tier CBDC model with hierarchical “main wallet / IoT sub‑wallets,” secure elements and trusted execution environments for tamper-resistant key storage and counters, and NFC/BLE device-to-device transfers backed by lightweight ZKPs. This operationalizes intermittently offline CBDC designs, translating privacy-preserving anti–money laundering and counter–terrorist financing rules into on-device limits and ZKP circuits rather than continuous online monitoring, thereby shifting supervisory leverage into protocol and hardware design choices. Unresolved are empirical tradeoffs among proof complexity, device diversity, and real-world performance under regulatory stress scenarios. [arXiv]

Upcoming Speaking Engagements:

The Crypto Assets Conference (Frankfurt, March 25) will focus on the growing importance of digital assets for capital markets and the competitiveness of the European economy. I will be speaking on the uncertain future of CBDC projects. [Register here and get 15% off the regular ticket price.]

The Digital Euro Conference 2026 (Frankfurt, March 26) will explore the future of money with a focus on CBDCs, stablecoins, and commercial bank tokens. This hybrid event offers the perfect platform to understand the future of digital money! [Register here and get 20% off the regular ticket price by using the Kiffmeister20 code!]

I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20260212)

~ kiffmeister

European Parliament Votes for Online and Offline Digital Euro (Central Banking)

On February 10, 2025 the European Union (EU) Parliament has approved the digital euro initiative, reaching agreement with the European Council on creating a currency that will function both online and offline. They rejected an earlier proposal by the parliamentary rapporteur that would have restricted the digital euro to an offline version only (420 votes in favor, 158 against and 64 abstentions). Members of Parliament approved an amendment that stated that the central bank digital currency (CBDC) was “essential to strengthen EU monetary sovereignty, reduce fragmentation in retail payments, and support the integrity and resilience of the single market [as] the increasing digitalization of payments, if left exclusively to private and non-EU actors, risks creating new forms of exclusion for both users and merchants” (438 in favor, 158 against and 44 abstentions). [Central Banking and European Parliament]

Bank Negara Launches Digital Ringgit Pilot Programs (BNM)

Bank Negara Malaysia (BNM) announced that its Digital Asset Innovation Hub (DAIH) has onboarded three initiatives in 2026 to test real-world applications of ringgit stablecoins and tokenized deposits, focusing on wholesale payment use cases for domestic and cross-border transactions, including tokenized asset settlement. These initiatives will be conducted in a controlled environment with ecosystem partners, including corporate clients and other regulators, with some exploring Shariah-related considerations. The testing aims to assess monetary and financial stability implications, with BNM planning to provide clearer policy direction on ringgit stablecoins and tokenized deposits by end-2026, potentially integrating with existing wholesale central bank digital currency (CBDC) work. [BNM]

Programming Money Without Programmable Money (FRBNY)

The Federal Reserve Bank of New York published a staff report that examines the distinction between “programmable money” and “programmable payments” in the context of central bank digital currency (CBDC) and tokenized money systems. The authors propose a two-layer framework consisting of an “asset layer” (a ledger recording ownership of plain-vanilla money) and a “program layer” (instructions for conditional transfers), which issues “certificates” that can be classified by two properties: transferability (whether ownership can be transferred) and convertibility (whether the certificate releases basic money when conditions are met). Pure programmable money is defined as transferable but non-convertible certificates that could circulate perpetually without releasing basic money, while pure programmable payments are non-transferable but convertible certificates (like direct debit arrangements). However, programmable money would likely not satisfy the “no questions asked” (NQA) property needed for good money and therefore wouldn’t circulate widely as money. [FRBNY]

Upcoming Speaking Engagements:

The Digital Euro Conference 2026 (Frankfurt, March 26) will explore the future of money with a focus on CBDCs, stablecoins, and commercial bank tokens. This hybrid event offers the perfect platform to understand the future of digital money! [Register here and get 20% off the regular ticket price by using the Kiffmeister20 code!]

I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20250515)

~ kiffmeister

Project Pine: Central Bank Open Market Operations with Smart Contracts (BIS)

The Federal Reserve Bank of New York and the Bank for International Settlements (BIS) published a joint research study that explored if and how central banks could continue to implement monetary policy operations in hypothetical tokenized wholesale financial markets. Project Pine found that central banks could customize and deploy policy implementation tools using programmable smart contracts in a potential future state where commercial banks and other private sector financial institutions have widely adopted tokenization for wholesale payments and securities settlement. The project generated the prototype of a generic monetary policy implementation tokenized toolkit for potential further research and development by central banks across jurisdictions and currencies. The prototype was designed to be technically modifiable for different central banks’ monetary policy frameworks and calibrated to conduct standard or emergency market operations. [Read more at the BIS]

Project Pine is not intended to advance any specific policy outcomes, nor does it represent any work by the Federal Reserve to establish, issue or promote any central bank digital currency within the United States or abroad.

Towards Verifiability of Total Value Locked in Decentralized Finance (BIS)

The Bank for International Settlements (BIS) published a paper that examines how total value locked (TVL) in decentralized finance (DeFi) is computed, identifies key challenges that hinder its verifiability, and proposes solutions to improve its computation. Its findings indicate limits to verifiability and transparency, and introduces a “verifiable Total Value Locked” (vTVL) metric measuring the TVL that can be verified relying solely on on-chain data and standard balance queries. A case study on 400 protocols shows that its estimations align with published figures for 46.5% of protocols, pointing to the potential for further TVL standardization. [Read more at the BIS]

Scaling DLT Capital Markets – Enabling Central Bank Money Settlement and Collateral Eligibility for DLT-based Securities (AFME)

The Association for Financial Markets in Europe (AFME) published a paper outlining two critical steps needed to scale distributed ledger technology (DLT) in capital markets in the European Union. First is the urgent need for a settlement solution for tokenized assets using central bank money. Secondly, AFME wants to see tokenized securities being considered eligible as collateral when banks borrow money from their central bank. [Read more at the AFME]

Upcoming Speaking Engagements:

The CB+DC Conference (Nassau, Bahamas, September 9-11) is a premier gathering centered on CBDCs, tokenized assets, and stablecoins. It provides a forum for central bankers, commercial bankers, technology innovators, policymakers, and academics to explore the latest advancements in digital currency, engage with experts and peers, and discuss the future of digital currency. [Register here but before you do, email me at john@kiffmeister.com for a 15% discount]

And just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20250415)

~ kiffmeister

A formally defined model to describe and compare payment system architectures (BIS)

The Bank for International Settlements (BIS) proposed a formally defined model to represent three key functions of payment system architectures: issuance/withdrawal, holding and transfer of funds in a standardized manner. The model defines payment diagrams, using a precisely defined syntax. The paper illustrates the application of these diagrams for domestic and cross-border account transfers, as well as cash, card, e-money and stablecoin payments. However, the payment diagrams can be used for any type of funds and can be applied across different payment system architectures. It also demonstrates how the diagrams correspond to the balance sheet approach commonly used in economics, and that it offers added value by providing an end-to-end visualization of every stage of the payment journey. The model provides a tool for central banks, regulators and the payment industry to better understand and compare existing and new payment system architectures. [Read more at the BIS]

Fnality rolls out “earmarking” for programmable payments (Fnality)

Fnality has released a new “earmarking” feature that allows banks to program funds for release upon receipt of proof of an event elsewhere. For example, institutions will be able to systematically program when funds move in exchange for a specified asset, or a related market event. A proof is a cryptographically signed piece of data representing specific information from another system, triggering the release of the £FnPS’s digital representation of central bank funds. When an earmark is in place prior to its release, the funds remain on the originating participant’s balance sheet at all times. [Read more at Fnality]

And just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20241103)

~ kiffmeister

The Digital Shekel Challenge – La Finale (Bank of Israel)

The Bank of Israel (BOI) concluded its Digital Shekel Challenge with presentations by the 14 entities selected to develop innovative use cases for the digital shekel. The use cases presented demonstrated the potential of the digital shekel to help create advanced payment solutions and lead innovation in Israel’s payment system. First place was awarded to Siara for a platform for returning debtors to an economic growth path, second went to Paypal for a smart payroll payments system, third to IDEMIA for an offline payments solution, and the “People’s Choice” to QEDIT for a platform that enhances trust for digital transactions using advanced cryptography. [Read more at the BOI]

Digital money and finance: a critical review of terminology (LinkedIn)

A couple of European Central Bank (ECB) staffers, including Director General of Market Infrastructures and Payments Ulrich Bindseil, posted a paper that proposes a new approach to clarifying the essence of new payment technologies. It puts forward an etymology of key concepts and reviews terminology and definitions, in the hope of facilitating ongoing discussions about the eventual merits of, and use cases for, such technology. On the basis of the analysis, the paper identifies a number of issues with the emerging key digital payments and decentralized financed (DeFi) vocabulary, including central bank digital currency (CBDC), crypto-assets, smart contracts, stablecoins, tokenization, and wholesale (as used in the CBDC context). [Download the paper on SSRN]

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Upcoming Speaking Engagements:

  • Digital Euro Conference 2025, Frankfurt, March 27, 2025. The DEC25 conference will explore the future of money with a focus on CBDCs, stablecoins, tokenized deposits, and the intersection of AI and digital ID. When you register, get 20% off the regular ticket price by using the Kiffmeister20 code! [Find out more and register here]

And just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20240903)

~ kiffmeister

Ripple to add smart contracts to XRP Ledger (Cointelegraph)

Ripple will add smart contracts to the XRP Ledger (XRPL) developer ecosystem and XRPL mainnet, although it’s still in its research phase and the firm did not provide a definite time frame for deployment. It also invited programmers familiar with Ethereum virtual machine (EVM) languages to explore possibilities on its sidechain. Ripple also said the sidechain was created for developers using Ethereum-based smart contracts. This gives a familiar environment for deploying DApps, allowing them to use Solidity, a programming language used to build smart contracts on Ethereum. [Read more at Ripple]

CBDCs, payment firms, and geopolitics (NBER)

The U.S. National Bureau of Economic Research (NBER) published a paper that analyzes the effect of a major central bank digital currency (CBDC) – the digital euro – on the payment industry, finding “remarkably” heterogeneous effects. Stock prices of U.S. payment firms decrease, while stock prices of European payment firms increase in response to positive announcements on the digital euro. Bank stocks do not react. The results are consistent with the notion that the development of the digital euro is driven by a desire for strategic autonomy in payments, pointing to a novel geopolitical dimension of CBDCs. [Read more at the NBER]

Russia’s largest bank to start offering customers CBDC in 2025 (Crypto.news)

Russia‘s Sberbank plans to start operations with the country’s digital ruble for its customers in early 2025. Sberbank is among Russian banks expected to join the project in the second round of testing CBDC, along with about 20 other financial institutions. [Read more at the Moscow Times]

Upcoming Speaking Engagements:

  • CBDC Conference, Istanbul, September 10-12. The conference will offer representatives of central banks, commercial banks, technology providers, policy makers and academics the perfect platform to learn about the latest CBDC developments, exchange ideas with experts and peers. [Find out more and register here][Central bank delegates may be eligible for free registration (email registration@cbdc-conference.com to find out more)]
  • Digital Currency Conference, London, September 23-24. The conference will bring together policymakers, regulators, and technology and innovation experts to network and discuss all aspects of digital currencies. And enter the KiffmeisterDCC code at registration to get a 20% discount! [Find out more and register here]

And just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20240614)

~ kiffmeister ~ 1 Comment

2023 BIS survey on central bank digital currencies and crypto

94% of the 86 central banks surveyed (between October 2023 and January 2024) by the Bank for International Settlements (BIS) are exploring central bank digital currency (CBDC). 54% are experimenting with proofs of concept and 31% are running a pilot. Around 30% of central banks focus on retail CBDCs only and 2% are working on wholesale CBDCs only, and it is more likely that central banks will issue a wholesale CBDC within the next six years than retail CBDC. More emerging market and developing economy (EMDE) central banks are likely to issue a retail CBDC on a distributed ledger than advanced economy (AE) central banks, perhaps reflecting a willingness to leapfrog moving from legacy systems to cutting-edge technologies. Also, this year the survey also provides insight into the use of stablecoins for payments and regulatory approaches to crypto-assets across the globe. [Read more at the BIS]

European Central Bank on making the digital euro truly private

The European Central Bank (ECB) published a blog post that explains what degrees of payments privacy future users of a digital euro can expect. It claims that it will promise better privacy and data protection than other current electronic means of payment, but not the same degree of privacy as cash although paying with an “offline digital euro” comes pretty close. Online digital euro payments will not be so private, because the commercial banks that run the user-facing parts of the platform will have full access to user identity and transaction information, just like they currently do on their own platforms. However, digital euro holder identities will be separated from the payment data, and the banks will pseudonymize user data so they are not visible to the Eurosystem. [Read more at the ECB]

Bank of Thailand to test programmable payments in enhanced sandbox

The Bank of Thailand (BoT) will test programmable payments in its Enhanced Regulatory Sandbox. Programmable payments automate transaction with predefined conditions for the payment of goods and services. This project will demonstrate the potential for applying technology to a wide variety of financial services, accompanied by appropriate risk management processes. The BOT will work in collaboration with the Securities and Exchange Commission, the Office of Insurance Commission, and the Fiscal Policy Office, Ministry of Finance, to evaluate the benefits and risks of financial innovations and to establish potential and suitable supervisory policies. [Read more at the BOT]

Are CBDCs quantum safe?

BitMint CEO Amnon Samid argues that CBDCs that rely on blockchain or distributed-ledger tech (DLT) will soon be cryptographically compromised by the power of quantum computers and artificial intelligence. Amnon argues that central banks should secure digital cash as token- or value-based digital representations, instead of designing systems that rely on traditional accounts as used by the commercial banking system. [Podcast on DigFin]

Upcoming Speaking Engagements:

  • CBDC Conference, Istanbul, September 10-12. The conference will offer representatives of central banks, commercial banks, technology providers, policy makers and academics the perfect platform to learn about the latest CBDC developments, exchange ideas with experts and peers. [Find out more and register here][Central bank delegates may be eligible for free registration (email registration@cbdc-conference.com to find out more)]
  • Digital Currency Conference, London, September 23-24. The conference will bring together policymakers, regulators, and technology and innovation experts to network and discuss all aspects of digital currencies. And enter the KiffmeisterDCC code at registration to get a 20% discount! [Find out more and register here]

And just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20240208)*

~ kiffmeister

Indian CBDC pilot progresses to programmable, offline usage

The Reserve Bank of India (RBI) plans to add programmability and offline payments to its central bank digital currency (CBDC) pilot. “Programmability will facilitate transactions for specific/targeted purposes, while offline functionality will enable these transactions in areas with poor or limited internet connectivity.” It sounds like programmability will take the form of “purpose-bound money” that embeds (“bounds”) programming logic denoting its use based on programmed conditions that becomes “unbounded” once those conditions are met. [Read more at the RBI]

Bakkt warns it might not be able to remain in business

Bakkt, launched amid great fanfare in 2018 by Intercontinental Exchange, the owner of the New York Stock Exchange, warned that it might not be able to stay in business. Bakkt is a digital asset platform and payment app that enables institutions to buy, sell, store and spend crypto-assets. It made strategic partnerships, including with Starbucks and Amazon Web Services, to enable digital asset transactions and services. [Read more at CoinDesk]

HKMA proposes crypto reserve requirements for banks

The Hong Kong Monetary Authority (HKMA) published a consultation paper on proposed new regulations on the prudential treatment of crypto-asset exposures. It is intended to implement standards established by the Basel Committee on Banking Supervision (BCBS) that divide assets that use cryptography and distributed ledger technology (DLT) into four different categories based on risk and other factors that determine how much capital banks must hold in reserve (see below). Group 1a and 1b crypto-assets will basically be treated the same as their non-tokenized versions. Group 2a crypto-assets will face higher capital reserve requirements than group 1 assets, and for group 2b crypto-assets the requirements can be greater than the value of the assets themselves. [Read more at the HKMA]

FYI here are some of my upcoming speaking engagements:

– Digital Euro Conference 2024 (Frankfurt on February 29)[Register here and get a 20% discount with the Kiffmeister20 code]

*For those interested in intra-day updates, check out my searchable Diigo Fintech developments database, which is also a good place to go to query for past developments: https://www.diigo.com/user/kiffmeister/ART.

Kiffmeister’s central bank digital currency monthly monitor

Just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at chronicles@kiffmeister.com

The Sovereign Official Digital Association (SODA) is a technology-agnostic firm offering advisory services at the intersection of central banking, digital finance and the web3 industry, aiming to make public digital money a reality. SODA believes institutions in the existing financial ecosystem should have access to the tools and resources they need to move from discussion to action. SODA offers ‘real life’ use cases to help test digital money and drive adoption as central banks and other public institutions explore the future of a more financially inclusive world powered by interoperable blockchain-based networks. SODA would love you to join us on this journey – please get in touch (chris@sodapublicmoney.org).

Satoshi Capital Advisors is a New York-based, global advisory firm that works with central banks, governments, and the private sector to architect, implement, and operate varying initiatives. Satoshi Capital Advisors’ central bank work revolves around CBDC architecture and implementation, providing advisory services from research phase through to growth phase. Utilizing a product-market fit and technology agnostic approach to CBDC architecture and implementation enables Satoshi Capital Advisors to build tailored solutions, bespoke to local financial system nuances. Satoshi Capital Advisors welcomes requests from central bank officials for virtual and in-person CBDC workshops. [Click here for more information]

WhisperCash offers the first fully offline digital currency platform that has the same properties as physical cash. It can perform secure consecutive offline payments without compromising on security, privacy or accessibility. WhisperCash allows direct person to person offline payments without any server infrastructure or internet connectivity. It comes in various form factors including the self-contained credit card-sized “Pro” that sports an eInk screen and capacitive keyboard, and lasts for two weeks between recharges assuming a few transactions per day. [Click here for more information]

Kiffmeister’s #Fintech Daily Digest (20231124)*

~ kiffmeister

Kazakhstan central bank pilots digital tenge smart contracts

Binur Zhalenov, CEO of the National Bank of Kazakhstan National Payments Corporation, has described a pilot that uses digital tenge smart contracts to optimize government subsidies, in this case involving school canteen subsidies. Each school student in the city of Almaty has an “ONAY!” transportation card. When a student uses this card in the school canteen, a smart contract is triggered that transfers digital tenge from the school’s account directly to the canteen operator’s account, but only when the student actually receives the service. This significantly cuts down on unnecessary reporting, canteens receive funds instantly after providing services, and ensures clear visibility of government fund usage. [Read more on LinkedIn]

China debuts solar power industry digital yuan smart contracts

State Grid Suzhou Power Supply Company completed the first digital yuan smart contract transaction in the solar power industry. The deal was struck the CBDC with the materials and textiles firm Suzhou Shicheng Material Technology that had struck a smart contract loan-type financing deal with a local bank branch. After Suzhou Shicheng Material Technology used electricity over an agreed period, State Grid Suzhou Power Supply issued a bill, causing the contract to close, and Suzhou Shicheng Material Technology’s digital yuan wallet was automatically debited after the issuance of the bill. [Read more at Cryptonews]

FYI here are some of my upcoming speaking engagements:

– Currency Research Americas Cash Cycle & Payments Seminar (Orlando Florida on November 27-30)[Register here]

– Digital Euro Conference 2024 (Frankfurt on February 29)[Register here]

*For those interested in intra-day updates, check out my searchable Diigo Fintech developments database, which is also a good place to go to query for past developments: https://www.diigo.com/user/kiffmeister/ART.

Kiffmeister’s central bank digital currency monthly monitor

Just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at chronicles@kiffmeister.com

The Sovereign Official Digital Association (SODA) is a technology-agnostic firm offering advisory services at the intersection of central banking, digital finance and the web3 industry, aiming to make public digital money a reality. SODA believes institutions in the existing financial ecosystem should have access to the tools and resources they need to move from discussion to action. SODA offers ‘real life’ use cases to help test digital money and drive adoption as central banks and other public institutions explore the future of a more financially inclusive world powered by interoperable blockchain-based networks. SODA would love you to join us on this journey – please get in touch (chris@sodapublicmoney.org).

Satoshi Capital Advisors is a New York-based, global advisory firm that works with central banks, governments, and the private sector to architect, implement, and operate varying initiatives. Satoshi Capital Advisors’ central bank work revolves around CBDC architecture and implementation, providing advisory services from research phase through to growth phase. Utilizing a product-market fit and technology agnostic approach to CBDC architecture and implementation enables Satoshi Capital Advisors to build tailored solutions, bespoke to local financial system nuances. Satoshi Capital Advisors welcomes requests from central bank officials for virtual and in-person CBDC workshops. [Click here for more information]

WhisperCash offers the first fully offline digital currency platform that has the same properties as physical cash. It can perform secure consecutive offline payments without compromising on security, privacy or accessibility. WhisperCash allows direct person to person offline payments without any server infrastructure or internet connectivity. It comes in various form factors including the self-contained credit card-sized “Pro” that sports an eInk screen and capacitive keyboard, and lasts for two weeks between recharges assuming a few transactions per day. [Click here for more information]

Kiffmeister’s #Fintech Daily Digest (20231115)*

~ kiffmeister

National Bank of Kazakhstan launches digital tenge pilot

The National Bank of Kazakhstan (NBK) kicked off a central bank digital currency (CBDC) pilot involving second tier banks and their clients. The architecture of the platform allows the use of digital tenge by opening a digital account in the mobile application of the banks, between which users can make payments and money transfers. Also, Almaty city administration will distribute automated social support payments using smart contract technology. Also, participating banks have issued digital cards in cooperation with international payment systems like MasterCard and Visa, so that . holders can make digital tenge payments and transfers with familiar form factors. [Read more at the NBK]

IMF launches Central Bank Digital Currency Virtual Handbook

The IMF launched its Central Bank Digital Currency (CBDC) Virtual Handbook, a reference guide for policymakers and experts at central banks and ministries of finance. It also serves as the basis for the IMF’s engagement with country authorities and other stakeholders. The CBDC Handbook aims to collect and share knowledge, lessons, empirical findings, and frameworks to address policymakers’ most frequently asked questions on CBDCs. As the IMF’s body of knowledge and analysis grows, it will continue to add about five chapters every year aiming to provide about twenty chapters by 2026. Moreover, chapters will be periodically updated, reflecting evolving views. [Read more at the IMF]

MAS kickstarts new round of asset tokenization pilots

The Monetary Authority of Singapore (MAS) will commence a new series of asset tokenization pilots in collaboration with 17 international banks. The initiative is an extension to MAS’ Project Guardian, in which the central bank collaborated with 15 financial institutions to carry out industry pilots on asset tokenization in fixed income, foreign exchange, and asset management products. The five new pilot projects explore a new set of use cases including listing, distribution, trading, settlement, and asset servicing. Additionally, MAS is collaborating with international policymakers and financial institutions to create an open digital infrastructure called Global Layer One (GL1) to facilitate seamless cross-border transactions and enable trading of tokenized assets across global liquidity pools while adhering to regulatory requirements. Furthermore, MAS is working with the financial industry to develop an Interlinked Network Model (INM) as a common framework for exchanging digital assets across independent networks, enabling transactions among financial institutions without the need for all to be on the same network. [Read more at MAS]

Fnality adds Goldman, BNP Paribas, DTCC in $95m funding round

Goldman Sachs, BNP Paribas and DTCC joined Fnality’s £77.7 million Series B funding round. Formerly called Utility Settlement Coin, Fnality plans to offer a wholesale payment and settlement platform using stablecoins backed by deposits at central banks. So far it’s operational only in the U.K., where banks can transfer money from their Bank of England accounts to the Fnality UK central bank account where it’s tokenized. Because the money is tokenized it enables instant atomic securities transaction settlement. One of the intended use cases is cross currency payments, but that will need the cooperation of other central banks, which has been slow in coming. [Read more at Fnality]

Alipay+ now integrated with Cambodia’s National QR code KHQR

The National Bank of Cambodia (NBC) and Ant International have partnered to promote efficient and secure cross-border mobile payments via QR code. The partnership, signed at the Singapore Fintech Festival, will enable users of Alipay+ payment partners to easily make payments at any KHQR merchants across Cambodia, and vice versa. KHQR, launched by the NBC in 2022, is a QR code-based payment solution designed to facilitate retail payments within Cambodia and cross-border transactions within ASEAN. [Read more at Fintech Singapore]

FYI here are some of my upcoming speaking engagements:

– Currency Research Americas Cash Cycle & Payments Seminar (Orlando Florida on November 27-30)[Register here]

– Digital Euro Conference 2024 (Frankfurt on February 29)[Register here]

*For those interested in intra-day updates, check out my searchable Diigo Fintech developments database, which is also a good place to go to query for past developments: https://www.diigo.com/user/kiffmeister/ART.

Kiffmeister’s central bank digital currency monthly monitor

Just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at chronicles@kiffmeister.com

The Sovereign Official Digital Association (SODA) is a technology-agnostic firm offering advisory services at the intersection of central banking, digital finance and the web3 industry, aiming to make public digital money a reality. SODA believes institutions in the existing financial ecosystem should have access to the tools and resources they need to move from discussion to action. SODA offers ‘real life’ use cases to help test digital money and drive adoption as central banks and other public institutions explore the future of a more financially inclusive world powered by interoperable blockchain-based networks. SODA would love you to join us on this journey – please get in touch (chris@sodapublicmoney.org).

Satoshi Capital Advisors is a New York-based, global advisory firm that works with central banks, governments, and the private sector to architect, implement, and operate varying initiatives. Satoshi Capital Advisors’ central bank work revolves around CBDC architecture and implementation, providing advisory services from research phase through to growth phase. Utilizing a product-market fit and technology agnostic approach to CBDC architecture and implementation enables Satoshi Capital Advisors to build tailored solutions, bespoke to local financial system nuances. Satoshi Capital Advisors welcomes requests from central bank officials for virtual and in-person CBDC workshops. [Click here for more information]

WhisperCash offers the first fully offline digital currency platform that has the same properties as physical cash. It can perform secure consecutive offline payments without compromising on security, privacy or accessibility. WhisperCash allows direct person to person offline payments without any server infrastructure or internet connectivity. It comes in various form factors including the self-contained credit card-sized “Pro” that sports an eInk screen and capacitive keyboard, and lasts for two weeks between recharges assuming a few transactions per day. [Click here for more information]