Last year the World Bank and the Commonwealth Bank of Australia announced a permissioned Ethereum-based blockchain to facilitate the end-to-end issuance of bonds between financial partners. The Bretton Woods-created financial institution hopes to make debt capital markets far more efficient with a bank-to-bank blockchain network. At the same time, the World Bank’s bond scheme has been scrutinized for corporate and political collusion with global leaders and Fortune 500 multinational corporations.
Also read: Central Banks Worldwide Testing Their Own Digital Currencies
The World Bank’s Plans to Sell Debt via Blockchain
The World Bank wants to digitize bond markets and debt capital settlement on a private Ethereum blockchain. The project is led by three other large financial institutions in Commonwealth Bank of Australia (CBA), RBC Capital Markets (RBC) and TD Securities (TD). According to the World Bank and CBA’s blog post, the project had gathered $81 Million for the issuance of distributed ledger-based…