The Australian Central Bank Describes the Current CBDC Pilot Project in a White Paper

Australians are now evaluating CBDC. given the government’s totalitarian handling of lockdowns.

Some authorities see Central Bank Digital Currencies as troublesome and susceptible to misuse, while others are conducting a test scheme. Reserve Bank of Australia, the nation’s central bank, collaborated with the Digital Finance Cooperative Research Centre to develop this whitepaper outlining the whole initiative.

In it, it is stated that “the pilot CBDC will be known as the eAUD” and that “the eAUD will be an RBA obligation denominated in Australian dollars.” With this pilot program, the Australian Central Bank aims to establish whether or not a Central Bank Digital Currency is appropriate for Australia. The Australian Central Bank has admitted that it has been working on the subject “for the last several years.”

Additionally, the Reserve Bank of Australia verified what everyone thought but no one knew for certain.  Globally, central banks are investigating the possible function, advantages, risks, and other aspects of CBDC. This has included the release of discussion papers, public consultations, and the creation of proofs of concept and CBDC pilots involving actual financial transactions.

“The project began in July 2022 and is anticipated to be finished by the middle of 2023. The initiative aims to evaluate a general-purpose pilot CBDC issued by the RBA for use in real-world, pilot implementations of services supplied by Australian industry partners.”

There is no assurance, however, that the Reserve Bank of Australia will continue to use the platform if the Central Bank Digital Currency initiative is successful. The Central Bank used Ethereum only due to its convenience.

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