20 January 2018
visit http://response.ncr.com

Singapore consortium claims breakthrough in DLT payments project

06 October 2017  |  8616 views  |  0 Singapore flag 1

A consortium of banks and technology vendors led by the Monetary Authority of Singapore (MAS) and The Association of Banks in Singapore (ABS) have successfully developed software prototypes of three different models for decentralised inter-bank payment and settlements with liquidity savings mechanisms.

First unveiled in November, Project Ubin is a MAS-led initiative to see how DLT can be used for the clearing and settlement of payments and securities, specifically the use of a tokenised form of the Singapore dollar on a distributed ledger.

The work builds on a similar Bank of Canada-led and R3-backed effort, called Project Jasper, which used a digital currency to enable interbank payments.

The Singapore central bank says the three software models developed in Phase 2 of Project Ubin are amongst the first in the world to implement decentralised netting of payments in a manner that preserves transactional privacy.

Existing netting programmes used in inter-bank payments rely on a single payment queue visible to the operator to find offsetting payments. Decentralising the queue, however, potentially exposes payment details to an unauthorised party.

"The latest models in Project Ubin achieve a superior combination of decentralisation and privacy," says MAS.

Accenture, which was appointed to manage and develop the prototypes, intends to publish a report on the outcomes in November.

Sopnendu Mohanty, chief fintech officer, MAS, says: “A key outcome of the consortium’s effort is the ability to perform netting while protecting the privacy of transactions. This helps to open up opportunity for a wider adoption of DLT-based settlement systems. We are sharing our learnings and knowledge from Project Ubin to encourage greater experimentation amongst central banks and financial institutions. We look forward to working with other central banks on the use of DLT for cross-border applications.”

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Singapore opens up on DLT trials

Singapore opens up on DLT trials

31 May 2017  |  9594 views  |  0 comments | 10 tweets | 12 linkedin
Bank of Canada says DLT not ready for interbank payment system

Bank of Canada says DLT not ready for interbank payment system

25 May 2017  |  15594 views  |  1 comments | 27 tweets | 25 linkedin
Canada calls in Accenture for payments overhaul

Canada calls in Accenture for payments overhaul

21 March 2017  |  8540 views  |  0 comments | 11 tweets | 17 linkedin
MAS to extend DLT trials to securities settlement and cross-border payments

MAS to extend DLT trials to securities settlement and cross-border payments

09 March 2017  |  9211 views  |  0 comments | 6 tweets | 6 linkedin
Private digital currencies need regulation to flourish - Bank of Canada research

Private digital currencies need regulation to flourish - Bank of Canada research

20 February 2017  |  11763 views  |  0 comments | 13 tweets | 10 linkedin
Bank of Canada DLT experiment raises PFMI questions

Bank of Canada DLT experiment raises PFMI questions

13 February 2017  |  14630 views  |  0 comments | 6 tweets | 10 linkedin
Singapore and international banks to construct interbank blockchain network

Singapore and international banks to construct interbank blockchain network

16 November 2016  |  9653 views  |  0 comments | 13 tweets | 21 linkedin
R3 partners Singapore's MAS for blockchain lab

R3 partners Singapore's MAS for blockchain lab

09 November 2016  |  7966 views  |  0 comments | 5 tweets | 7 linkedin
Singapore proposes new regulatory framework to handle payments innovation

Singapore proposes new regulatory framework to handle payments innovation

25 August 2016  |  9475 views  |  0 comments | 11 tweets | 13 linkedin
IBM to open first 'Centre for Blockchain Innovation' in Singapore

IBM to open first 'Centre for Blockchain Innovation' in Singapore

12 July 2016  |  8599 views  |  0 comments | 20 tweets | 21 linkedin
Bank of Canada trials blockchain-based digital dollar

Bank of Canada trials blockchain-based digital dollar

16 June 2016  |  16139 views  |  3 comments | 33 tweets | 33 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.fivedegrees.nlvisit www.niceactimize.comvisit www.thomsonreuters.info

Top topics

Most viewed Most shared
Europe begins Open Banking era in subdued styleEurope begins Open Banking era in subdued...
12416 views comments | 33 tweets | 38 linkedin
BofA leads on blockchain patentsBofA leads on blockchain patents
7826 views comments | 12 tweets | 12 linkedin
Standard Chartered establishes fintech innovation and investment unitStandard Chartered establishes fintech inn...
7662 views comments | 14 tweets | 14 linkedin
hands typing furiouslyFintech Adoption is About People, Not Tech
6787 views 1 | 6 tweets | 2 linkedin

Featured job

Competitive base + commission
New York City, NY - USA

Find your next job