Singapore Monetary Authority with the partnership the central bank of Canada (BoC) is experimenting with the cross border payments of Blockchain technology.
Sopnendu Mohanty, Chief Fintech officer of the monetary authority in Singapore said on Thursday, May 2 that Blockchain has the potential to establish cross border payments however for now; the agency is not seeing much of this in retail bank digital currency. While delivering this statement at a business event in Massachusetts Institute of technology, Mohanty also mentioned ripple but claimed that agency does not believe in their positive effects on the Singapore central bank.
Here at the event after pointing out that agency does not have the clear understanding about Blockchain, their use cases and ways to deploy the technology, Mohanty explains agency plans to experiment the new decentralized technology and get the deep understanding about it.
And this is the real reason why MAS (monetary authority of Singapore), the central bank of the country has been working and analyzing the technology. He believes as the agency get to know the real potential of the technology, it will not care about the compelling future of retail bank virtual currency.
Mohanty also mentioned central bank of Canada’s collaboration with the monetary agency to send each other digital currency on Blockchain network as an example stating the development to be “ the next wave of central bank Blockchain projects can make further progress by bringing technology exploration together with policy questions about the future of cross border payments.“
Regardless of struggle in financial and cryptocurrency market, Singapore is among one of the countries to have open towards the adoption of the cryptocurrency. Although some of the countries in the region still had gone instead and banned the ICO (initial coin offering), virtual currencies and also other activities related to cryptocurrency, Singapore remains clear in its goal to become an open nation for accepting digital assets and Blockchain.
However, MAS has always wanted investors to stay aware of the scams in this sluggish market and has explained to them about the risk associated with the investment in virtual currency.