Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

Central Banks Team Up With BIS for “Icebreaker” Pilot-Project

Cryptocurrency Sep 29, 2022 04:00AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
Central Banks Team Up With BIS for “Icebreaker” Pilot-Project

  • Central banks collaborate with the BIS for project Icebreaker.
  • Head of BIS says these learnings will be invaluable to banks trying to implement CBDC for cross-border payments.
  • The architecture will support retail CBDC payments across borders at lower cost.

The central bank of Israel, Sweden (Sveriges Riksbank), and Norway along with the Bank for International Settlements (BIS) are launching a pilot project named Icebreaker. The project will experiment with how central bank digital currencies could be used for international retail and remittance payments.

Commenting on the invaluable insights that the project will garner, the Head of the BIS Innovation Hub Nordic Centre, Beju Shah said:

This first-of-a-kind experiment will dig deeper into the technology, architecture and design choices and trade-offs, and explore related policy questions. These learnings will be invaluable for central banks thinking about implementing CBDCs for cross-border payments.

The joint exploration will address the pain points involved with cross-border payment, high cost, low speed, limited access, and insufficient transparency.

As per the BIS website, the project will test the functionality and technological feasibility of interlinking with different domestic CBDC systems. This testing will play a vital role as the trio of banks with the BIS have planned to develop a “hub” to which participating central banks will connect their domestic proof-of-concept CBDC system.

Ultimately, the architecture design will enable immediate retail CBDC payments across borders, at a significantly lower cost than with existing systems, where payments as of now are being sent via several different banks to the final recipient.

The Deputy Governor of the Bank of Israel, Andrew Abir, considered his country to be privileged to explore this sector with expert partners. Furthermore, he added:

Efficient and accessible cross-border payments are of extreme importance for a small and open economy like Israel and this was identified as one of the main motivations for potential issuance of a digital shekel.

Torbjørn Hægeland, Norges Bank’s Executive Director for Financial Stability expressed his delight to be a part of this project and Mithra Sundberg, Head of the E-krona Division said that they gain a better understanding of important design and policy choices needed to secure cross-border functionalities.

The post Central Banks Team Up With BIS for “Icebreaker” Pilot-Project appeared first on Coin Edition.

See original on CoinEdition

Central Banks Team Up With BIS for “Icebreaker” Pilot-Project

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
Sign up with Email