- The Monetary Authority of Singapore has announced that the digital payments network of the country is ready for a rollout.
- The final phase of Project Ubin, jointly undertaken by Temasek and JP Morgan, has reached its commercial zenith.
- The payments network can be used for various currencies that are based on blockchain technology.
The Monetary Authority of Singapore has announced that the digital payments network of the country is ready for a rollout. The final phase of Project Ubin, jointly undertaken by Temasek and JP Morgan. It has reached its commercial zenith and is suitable for a live adoption. The payments network can be used for various currencies that are based on blockchain technology. Hence, the network will be useful across many industries and act as a major boost to the financial sector.
Key findings of the report published by MAS
It cited that the prototype carried out on 40 financial and non-financial organizations within the country. Transactions settled with the use of multiple currencies on the same network. They were the simpler, cheaper, and faster mode of payment for all parties in the test phase. Furthermore, cross-border transactions easily carried out with the help of blockchain technology. The payment mode could be further used at renowned foreign exchanges and securities denominated in currencies other than Singapore Dollar (SGD). Project Ubin started in 2017 will help in end-to-end digitalization of foreign currencies as well.
Besides, It envisages that other central banks can be brought on board for the integration of financial services. According to Mr. Sopnendu Mohanty, who heads the FinTech department at MAS, Project Ubin is ready for commercialization after years of development and growth.
Prospects of blockchain based Payment Network
The live deployment of blockchain technology will spur the growth of not only capital markets but also financial trading. Moreover, businesses across the country and the neighboring countries as well look forward to the digitization of financial assets within the organization. Thus, the countries’ goal of becoming a Smart Nation has just taken off in the right direction with the multi-currency payments platform.
The Managing Director and Head of Blockchain at JP Morgan, Mr. Umar Farooq, has stated that Project Ubin is a classic example to solve commercial payment problems within an ecosystem as lively as Singapore. Furthermore, the close cooperation of JPM Coin, Interbank Information Network (IIN), and Quorum has helped see through the developments of the blockchain payments network.