Deutsche Bundesbank of Germany has signed up as a participant in Project Guardian, an effort spearheaded by the Monetary Authority of Singapore (MAS) to advance the asset tokenization space and nurture further mixed innovations within global leadership finances.
The initiative, co-sponsored by regulators and the financial markets, foresees the application of blockchain technology to increase the market’s effectiveness and turnover rate.
Made public in a press release, joining comprises engaging in efforts to enhance the cross-border connections on the standardization and interoperability of digital assets. The German central bank will soon employ an interconnected blockchain system for use in the administration of tokenized assets and digital funds; however, there are no more specific details concerning the formation of the platform, together with the projections for its implementation.
MAS and Deutsche Bundesbank Partnership Aims to Enhance Liquidity Through Asset Tokenization
A deputy managing director for MAS, Leong Sing Chiong, pointed out the importance of such engagement with Bundesbank, stating it would provide endless value as the German bank would help to ‘seed’ the project and drive further development in an area critical for global financial markets, namely the channels of liquidity.
According to Burkhard Balz, an executive board member of Deutsche Bundesbank, MAS is experimenting with value transfers on blockchain and other similar projects in Europe, as revealed at the event. Thanks to Balz for the info. The German central bank aims to understand how it is possible to integrate asset tokenization into the financial market, First General, as presented by Project Guardian.
Earlier this month, MAS expressed intent to bring Tokenized Assets into the mainstream base by building out market structures for tokenization or improving liquidity and overall frameworks conducive to cross-border Tokenized Asset trades.
Chiong also highlighted that in recent years, Singapore has seen increased interest in asset tokenization, especially in fixed-income, forex, and asset management businesses.
Now, as Deutsche Bundesbank and MAS are promoting these concepts, their combined efforts under Project Guardian can signal a new pace in the development of global financial networks due to integrating blockchain into traditional banking systems.
This news is republished from another source. You can check the original article here
