This blockchain startup has been actively pursuing the CBDC market since it began testing its CBDC Private Ledger in March 2021 with an eye toward central banks.
Following suggestions from Ripple CBDC adviser Antony Welfare (1) that more announcements are still to come, Ripple will shortly reveal encouraging progress in the central bank digital currency CBDC programs. Crypto influencer Sentosumosana (2) revealed on Twitter on Tuesday that Ripple was running several CBDC pilot initiatives, one of which was in Palau and the other in Bhutan.
While Ripple's senior adviser, Welfare, who oversees CBDC Europe and global alliances, reacted to the same threat and hinted that additional CBDC announcements might be coming in the coming weeks. Since experimenting with a private XRP ledger (3) session that provided a platform for central banks to issue CBDCs in March 2021, the business has become more involved in developing central banks and digital currencies.
The US-based research tank Digital Dollar Project announced last week that Ripple was among the first participants in its Technical Sandbox Program (4), designed to examine the possible technical and commercial implications of a CBDC in the US.
In February, Ripple partnered with the European think tank Digital Euro Association as a supporting partner to drive the expansion of CBDCs and Digital Euro together. Additionally, Ripple Labs disclosed that it was collaborating with the Royal Monetary Authority (5) of Bhutan to pilot a CBDC in the country of south-central Asia to enhance international payments.
Cooperation between the blockchain startup and the Republic of Palau was established two months later to assist the Pacific island nation to create its eco-friendly digital currency that would function more like a USD-backed stablecoin than a CBDC. Additionally, it introduced Ripple CBDC Innovate, the first online CBDC hackathon.
The competition has attracted 483 entrants so far for developing CBDC-focused applications to enhance the interoperability of CBDCs' digital assets and make it easier for retail usage and interaction to bring banking to disadvantaged groups. The competition's first round of finalists, announced on September 8th, will advance to the second round.