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Ripple Joins The Digital Pound Foundation To Support CBDC Development

John Wanguba by John Wanguba
October 15, 2021
in Blockchain, News
Reading Time: 3min read
Ripple Joins The Digital Pound Foundation To Support CBDC Development
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Ripple, a blockchain-based digital payment firm, has joined the Digital Pound Foundation (DPF) Group, which explores the development of a central bank digital currency (CBDC) in the UK.

In an October 14 announcement, the enterprise blockchain provider confirmed its involvement in the CBDC project. The payment firm joined the Digital Pound Foundation officially.

Relaunched on October 14, 2021, the Digital Pound Foundation is an independent forum aiming to support the implementation of a digital pound and digital money ecosystem in the United Kingdom. Apart from Ripple, other founding members include Accenture, Avalanche, Billon Group CGI, Electroneum, and Quant.

While commenting about the partnership, the newly appointed representative Susan Friedman, Head of Policy at Ripple, mentioned:

“We are excited to support the design and implementation of a digital Pound in partnership with the Digital Pound Foundation. The Foundation will help advance the UK’s goal to build a more inclusive and sustainable financial system.”

In its announcement, Ripple cited that more than 80% of central banks are exploring digital projects such as CBDCs. These digital currencies might eventually replace the traditional monetary system. In that case, the network payment solution could be beneficial to the objectives of the DPF.

Ripple’s Other CBDC Projects

On several occasions, the enterprise blockchain provider has taken part in such a CBDC exploration program. Earlier September, Bhutan’s central bank, the Royal Monetary Authority (RMA), joined hands with Ripple to design a digital version of its national currency.

As part of the initiative, the RMA expects to establish digital and cross-border payments and expand financial inclusion efforts by more than 85% in the next two years.

At the time, Ripple asserted that Bhutan’s CBDC development matches with its green policies since the Asian country is renowned as the only carbon-negative nation in the world.

 “Ripple’s commitment to sustainability was important for Bhutan. The CBDC solution is carbon-neutral and, because it’s based on the public XRP Ledger, is 120,000x more energy-efficient than proof-of-work blockchains.”

In the same context, Ripple confirmed that its network would facilitate Bhutan’s RMA with more

“control over the issuance, management, privacy, and validation than they would get with public blockchains.”

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Tags: BhutanCBDCcentral bank digital currency (CBDC)digital poundDigital Pound Foundation (DPF) GroupRipplethe UK

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