Digital Dollar Project Floats Sandbox for Harness Potential CBDC Solutions
The Digital Dollar Project (DDP) has announced the launch of its Technical Sandbox Program launch, which will further explore the potential of the technical exploration of a U.S. Central Bank Digital Currency (CBDC) or the Digital Dollar.
According to the DDP, a nonprofit organization created to encourage research and public discussion on the potential advantages and challenges of a U.S., the Technical Sandbox Program will also involve some of the inaugural members that were drafted to explore case studies for the Digital Dollar. These include Digital Asset, EMTECH, Knox Networks, and Ripple.
The Sandbox Program is set to commence in October. The DDP will create a neutral environment where the proposed US CBDC can be evaluated regarding technology, business, and policy.
"The launch of our Technical Sandbox Program marks the next step in our effort to convene the private and public sector in the exploration of a central bank digital currency in the U.S.," said Jennifer Lassiter, executive director of The Digital Dollar Project.
"We understand how important it is to include a diverse set of views and expertise as we look to answer key questions about how the technology could work, the problems we hope to solve, and the ultimate business and individual outcomes we want to achieve. The marriage of these sectors in our collaboration is essential and will lay the foundation for robust pilots that improve the outcomes and usability of CBDCs."
The United States of America has been adjudged to be very slow in pushing for a Digital Dollar. With smaller economies already ahead in their research and introduction of these new legal tender, many have postulated that the U.S. may miss the current financial revolution with its slow-paced approach.
With the role of organizations like the DDP, governments, Federal Reserve, lawmakers, and policymakers will be well armed with a more robust, clearer picture of implementing a CBDC in the U.S.
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