MAS-led Project Ubin Phase 5 shows commercial capabilities

The prototype successfully settled multicurrency transations on the same network.

The Monetary Authority of Singapore (MAS) and Temasek have jointly released a report to mark the conclusion of the fifth and final phase of Project Ubin, according to an announcement.

The report “Project Ubin Phase 5: Enabling Broad Ecosystem Opportunities”, provides technical insights into the blockchain-based multicurrency payments network prototype and illustrates its benefits to the financial industry and blockchain ecosystem.

The findings said that the multicurrency payments network prototype developed under Phase 5 successfully settled transactions in various currencies on the same network. Phase 5 also validated the use of smart contracts on the payments network prototype in use cases such as Delivery-versus-Payment (DvP) settlement with assets on private exchanges, conditional payments and escrow for trade, as well as payment commitments for trade finance.

Possible commercial applications of the payments network include multicurrency cross-border payments, foreign currency exchange, settlement of foreign currency denominated securities, and integration with other blockchain-based platforms for end-to-end digitalisation.

The prototype, developed with J.P. Morgan and Temasek, can serve as a test network to facilitate collaboration with other central banks and the financial industry for developing next-generation cross-border payments infrastructure.