ConsenSys, the Ethereum software company, has partnered with Kakao’s Klaytn blockchain to develop a private platform for the issuance of a South Korean central bank digital currency (CBDC).
It has been reported that the partnership will see ConsenSys work to develop a private version of Klaytn in preparation for an upcoming CDBC pilot program in South Korea.
However, the project will also encompass making Klaytn compatible with Ethereum layer-two solutions and will look to build interoperable bridges with other blockchains.
A fork of the Ethereum blockchain is being reshaped with private features, in preparation for South Korea's upcoming CBDC pilot program. https://t.co/QVjnrZmcat — Cointelegraph (@Cointelegraph) April 26, 2021
Charles d’Haussy, the Managing Director of Asia Pacific at ConsenSys, said:
“Through this collaboration we will strengthen the efficacy of the Klaytn platform, readying it to process transactions which would conceptually support CBDCs, and also optimize it for Ethereum Layer 2 integration.”
The report said that CBDCs are simply digital versions of national currencies and, as such, must be overseen by central powers. Yet ConsenSys’ plan to make its pending private network compatible with existing public blockchains suggests national CBDC platforms needn’t be as siloed as many initially expected.
Thus, Jason Han, the CEO of Ground X, said:
“We are happy to cooperate with ConsenSys to strengthen our public network and also build a private network that can cater to a successful CBDC distribution test.”
Source: Cointelegraph