As announced on November 2, the Bank for International Settlements (BIS), along with the central banks of France, Singapore and Switzerland, willget startedA new project called “Project Mariana” exploring blockchain technology.
The Mariana project intends to use decentralized finance or DeFi protocols to automate foreign exchange and settlement markets.
The implementation of the DeFi protocol will stimulate cross-border transactions between Swiss Francs, Euros and Wholesale CBDCs, Singapore Dollars. The technologies involved in creating Project Mariana include smart contracts and automated market maker or AMM protocols.
The researchers attempted to combine pooled liquidity in AMM with innovative algorithms to determine the price of the token asset. which may develop as the basis of exchange for the CBDC.
According to BIS, “The AMM protocol can form the basis for a next-generation financial infrastructure facilitating cross-border CBDC exchanges,” said Cecilia Skingsley, head of the BIS Innovation Center.
“This pioneering project Help drive our CBDC research into the frontier of innovation. By incorporating the concept of the DeFi ecosystem together. It is also the first collaboration in the Innovation Hub and we expect to see more cooperation in the future.”
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