Ripple (XRP): crypto solutions to develop Montenegro’s CBDC

Ripple (XRP) and its crypto solutions will be available for the Central Bank of Montenegro (CBCG) to develop the country’s first CBDC.

Ripple (XRP): the crypto solutions chosen by the Central Bank of Montenegro

The Central Bank of Montenegro (CBCG) has chosen Ripple (XRP) and its blockchain and crypto solutions to develop its first CBDC in the country. 

Ripple and the Government of Montenegro have agreed on a project to develop an unspecified national digital currency.

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This is an agreement signed by the parties to develop a pilot project for the national Central Bank Digital Currency (CBDC) or stablecoin.

In line with the CBCG’s main goals, the introduction of the digital currency is another step toward digitizing financial services and promoting a world of greater financial accessibility for the citizens of Montenegro.

In this regard, James Wallis, Ripple‘s vice president for central bank and CBDC engagements said:

“The Central Bank of Montenegro is bringing the next level of digital transformation to its financial infrastructure and addressing some of the world’s biggest financial challenges, including financial inclusion.

Ripple has a proven track record of successfully connecting disparate payment systems and championing blockchain’s utility to issue Central Bank Digital Currencies and solve for global payments to hundreds of financial institutions around the world. We are pleased that the CBCG has chosen Ripple to help launch its first digital currency and further address the country’s core financial objectives.”

Ripple (XRP) for Montenegro’s CBDC

CBCG Governor Radoje Žugić also commented on the matter:

“As a central bank committed to following up-to-date national banking trends, the CBCG is actively ensuring it maintains an efficient financial system. We look forward to collaborating with Ripple on the pilot project for creating CBDC or stablecoin.

Through the project, the CBCG will work with the Government of Montenegro and Montenegro’s academia to create a practical digital currency or secure currency solution to test the main blockchain technology’s functionality and potential. It will also analyse the advantages and risks that CBDCs or national stablecoins could pose concerning electronic means of payment availability, security, efficiency, compliance with regulations, and most importantly, the protection of end users’ rights and privacy.”

This was Žugić’s way of telling how Ripple will be involved with the CBCG, the Government of Montenegro, and academia in Montenegro, all working together to test the Blockchain for the creation of the CBDC.

The project will involve several steps, including identifying the practical application of a digital currency, designing it to simulate use, and putting it into circulation under controlled conditions.

What does the XRP crypto price look like?

The sixth largest crypto by market capitalization, Ripple (XRP), is proceeding with a bull run trend. In the past month, XRP has risen from $0.36 to the current $0.52.

This result suggests that XRP has overcome the “threats” that were thought to have had a negative impact on its price in early March.

Basically, Ripple had disclosed that it had exposure to SVB (Silicon Valley Bank), which was shut down by the Federal Deposit Insurance Corporation after suffering a run on withdrawals.

The revelation could have been grounds for XRP‘s collapse, but instead, as it turns out, it not only held up but also performed.