CBDC Use Case Research Launched by RBA & DFCRC
(28 September 2022 – Australia) The Reserve Bank of Australia (RBA) is collaborating with the Digital Finance Cooperative Research Centre (DFCRC) on a research project to explore use cases for an Australian Central Bank Digital Currency (CBDC).
The project will also be an opportunity to further understanding of some of the technological, legal and regulatory considerations associated with a CBDC. The DFCRC and the RBA have released a White Paper ‘Australian CBDC Pilot for Digital Finance Innovation’, that explains the objectives and approach of the project in detail including the design of the pilot CBDC that will be utilised by industry participants to explore use cases for a CBDC.
The DFCRC is a ten-year, A$180 million research program funded by industry partners, universities and the Australian Government, through the Cooperative Research Centres Program. The DFCRC’s mission is to bring together stakeholders in the finance industry, academia and regulatory sectors to develop and harness the opportunities arising from the next transformation of financial markets - the digitisation of assets that can be traded and exchanged directly and in real-time on digital platforms.
Interested industry participants are invited to make submissions on CBDC use cases that have the potential to deliver benefits to the functioning of the Australian economy and financial system. Participants can also express interest in operating their use case in a pilot project to test and demonstrate the value proposition.
”The emergence of a tokenised economy offers the potential to deliver new economic and social value, thereby contributing to the welfare of the Australian people” The DFCRC states.
“Central Bank Digital Currency) is a digital form of money issued as a liability of the central bank. The project intends to test a general purpose CBDC issued as a liability of the RBA for use in real-world, pilot implementations of services offered by Australian industry participants. Any compelling use case – whether so-called ‘wholesale’ or ‘retail’ – will be explored in the project.”