The Central Bank of France, in partnership with Societe Generale, has announced the successful test of the blockchain-based digital euro. Banque De France made the announcement in an official press release.
Banque De France conducted the blockchain experiment via debt securities. For the test, Societe Generale offered €40 million (roughly $44 million) in covered bonds and settled them in digital currency.
According to the press release, talks about the experiment began in April 2018 when the central bank of France tasked the multinational investment giant to offer €100 million (about $110 million) worth of bonds. Although the settlement was done in traditional currency, it was “aimed at promoting new blockchain-based market activities.”
The report concluded by saying that “this [latest] test transaction carried out with the Banque de France [Bank of France] is a new step in Societe Generale scaling up in its transformation, using the most innovative technologies, with the aim of better serving its clients.”
The success of this transaction is a huge step for France’s financial ecosystem. The central bank is already considering carrying out similar experiments with other banks in the coming weeks.
France is just one of a growing number of developed countries making bold moves to accept cryptocurrency as an official national means of transaction. The European Central Bank is set to follow suit.
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