The post BIS ‘Project Rialto’ aims to make FX settlement more efficient appeared on BitcoinEthereumNews.com.

The Bank for International Settlements (BIS) is often likened to the bank for central banks. It’s responsible for promoting global monetary and financial stability, so it’s no surprise it’s deeply involved in innovation using blockchain and digital ledger technology (DLT). In addition to Project Agorá, mBridge, and half a dozen other initiatives utilizing distributed ledgers and artificial intelligence (AI), the BIS has now announced Project Rialto, a foreign exchange (FX) module to streamline settlement for instant cross-border payments. It will use wholesale central bank digital currencies (CBDCs) as the settlement asset. Rialto is a collaboration between the BIS Innovation Hub in Singapore and the Eurosystem. No further information has yet been provided on what central banks are involved. Making the FX settlement system more efficient could dramatically reduce risks and costs. It’s estimated that FX accounts for 60% of P2P payment costs and up to 97% of P2B costs. The BIS previously launched Project Mariana to explore FX settlement efficiencies. Singapore’s Project Guardian explored how asset tokenization and decentralized finance (DeFi) might help, while JP Morgan’s (NASDAQ: JPM) Onyx launched to use blockchain technology and its proprietary JPM coin for the same reasons. Opinion: The utility era is finally here As a reporter, it’s becoming increasingly difficult to keep up with all the different projects and initiatives using blockchain technology to improve payments, financial services, peer-to-peer communications, and more. Finally, it seems the world has realized that blockchains and digital tokens can be used for much more than speculation, and a Cambrian explosion of innovation is upon us. Yet, much like in the early days of the internet, private companies and global organizations are looking to protect their interests and win market share by offering services on private blockchains they control. What they haven’t yet realized, but will in time,…

---

Filed under: News - @ June 10, 2024 9:22 am