Ripple and Peersyst will join forces with the Central Bank of Colombia to explore the possibility of using blockchain technology in the country.
Ripple Labs, a leading developer of corporate blockchain solutions, announced a partnership with the Banco de la República. Together with Peersyst Technology, the company will help the country’s government explore blockchain applications.
The pilot project will be launched on the Ripple CBDC platform within the XRP Ledger network (XRPL) and last until the end of 2023. The initiative’s main goal is to demonstrate the potential of blockchain technology to simplify payments. The pilot project will also focus on:
- training for national and territorial government agencies;
- experimental study of the real-time application of blockchain technology;
- demonstrating the speed, scalability, and transparency of blockchain;
- using blockchain technology in payment systems and data management.
The Ministry of Information and Communications Technologies (MinTIC) in Colombia will be the main supervisor of the pilot project. The central bank will conduct a series of experiments aimed at improving payment systems in the country using Ripple’s technology.
According to Mauricio Lizcano, Minister of MinTIC, the project is important for Colombia as the potential effectiveness of blockchain contributes to the development of payment systems in the country. In his opinion, the pilot project could result, for example, in the simulation of different scenarios for using blockchain solutions in High-Value Payments Systems (HVPS).
CEO of Peersyst Technology, Ferran Prat, noted that the Ripple CBDC platform is the best solution for payment technologies that a central bank can use. Ripple’s developments are the basis for CBDC pilot projects in Bhutan, Palau, Hong Kong, and Montenegro.
Last year, Ripple was already developing a blockchain project together with Peersyst Technology that would allow the Colombian government to keep cadastral records of land titles in XRPL. However, the project was frozen due to political controversy after the change of power in Colombia.
