Ripple has been making headlines in recent months for its various Central Bank Digital Currency (CBDC) projects and partnerships. The fintech company is making a concerted effort to make CBDCs a key priority in its 2023 projections and goals, and is already boasting collaborations with several countries. In mid-January, Ripple announced a digital stablecoin pilot project with the southeastern European country of Montenegro, and in the second half of last year, the company announced the island nation of Palau and the Kingdom of Bhutan as CBDC customers.
Ripple is also pursuing numerous initiatives around the world, including the digital pound, where the company is involved with the Digital Pound Foundation, which has been in the news repeatedly of late. In addition, Ripple is actively exploring opportunities in Singapore, and is working with a number of central banks around the world.
At the Crypto Finance Conference in mid-January, Brook Entwistle, senior vice president and managing director at Ripple, revealed new details on CBDCs. Entwistle disclosed that Ripple has put four people on the ground in Singapore alone, focused on CBDCs. He also stated that Ripple is focusing on smaller governments, smaller central banks that need a holistic solution and sidechains, something that is being created from scratch.
Entwistle also talked about the Kingdom of Bhutan, noting that Ripple’s first Memorandum of Understanding (MoU) is with the small country. According to Entwistle, the King of Bhutan is very forward-looking and technology-advanced, and wants a better way of moving value around the country, whether it is payments or other stuff. The exec also revealed that Ripple is working with the King of Bhutan to eventually have remittances back in the country as well.
In addition, Entwistle cautioned that Ripple needs to be careful “chasing every new shiny thing” because that leads to diluting business models. The exec also acknowledged that at the China level and the US level, there are a lot of people chasing CBDCs, and that Ripple has to be realistic about its impact.
However, Entwistle also concluded by saying that Ripple’s technology could play an important role in the interoperability of CBDCs around the world. He noted that CBDCs will be an important topic for the entire industry going forward, and that Ripple’s technology could facilitate the interoperability between them.
The Monetary Authority of Singapore (MAS) is exploring the Ubin+ wholesale CBDC project for cross-border payments, and is participating in a SWIFT CBDC sandbox with 17 other central banks and commercial banks to test cross-border interoperability. However, Ripple has not yet been mentioned in any of these announcements.
Ripple has made it clear that CBDCs are a key priority for the company in 2023, and is actively pursuing collaborations with countries around the world. The company is also exploring opportunities in Singapore, and is working with a number of central banks around the world. Ripple is focusing on smaller governments and smaller central banks that need a holistic solution and sidechains, and is also working to facilitate the interoperability of CBDCs around the world.
The XRP price currently stands at $0.3881, trading below the 200-day EMA. It remains to be seen how Ripple’s CBDC projects and partnerships will impact the XRP price. However, it is clear that Ripple has made CBDCs a key priority, and is actively pursuing collaborations with countries around the world.
Ripple’s focus on CBDCs is a testament to the company’s commitment to providing innovative solutions for the global financial system. The fintech company is actively exploring opportunities in Singapore, and is working with a number of central banks around the world to facilitate the interoperability of CBDCs.
Ripple’s CBDC projects and partnerships are an important step forward in the development of the global financial system. The company’s focus on CBDCs is a testament to its commitment to providing innovative solutions for the global financial system. It remains to be seen how Ripple’s CBDC projects and partnerships will impact the XRP price, but it is clear that Ripple has made CBDCs a key priority, and is actively pursuing collaborations with countries around the world.
