China-led platform mBridge processes $55 billion in cross-border transactions as efforts to establish alternative payment rails gain traction. Project mBridge settles over 4,000 transactions worth $55.5 billion, with China’s digital yuan accounting for 95% of total volume. The platform is being tested by central banks in China, Hong Kong, Thailand, UAE, and Saudi Arabia.

China allows banks to pay interest on digital yuan balances, expanding its role beyond a payment tool. People’s Bank of China introduces a framework for commercial banks to integrate digital yuan into asset and liability management. The digital yuan will evolve into a “digital deposit currency” for storage, cross-border payments, and everyday transactions.

Bank for International Settlements exits project mBridge over sanctions evasion concerns, emphasizing it is not the “BRICS bridge.” BIS distances itself from speculation that mBridge could be used to bypass sanctions. BIS shifts focus to Project Agorá, a separate effort involving major Western central banks with expanded testing.

Read more at Cointelegraph: China-Led CBDC Platform mBridge Tops $55 Billion in Transaction Volume