MAS completes live trial of interbank lending using wholesale CBDC

SGD Testnet enables financial institutions to settle tokenised financial assets using wholesale CBDC.

The Monetary Authority of Singapore (MAS) completed a live trial of interbank overnight lending using wholesale Central Bank Digital Currency (CBDC) on the Singapore Dollar Test Network (SGD Testnet). 

DBS, OCBC, and UOB participated in the exercise, which marked the first live issuance of Singapore dollar wholesale CBDC recorded in official bank books and regulatory filings.

SGD Testnet enables financial institutions to settle tokenised financial assets using wholesale CBDC through a shared ledger infrastructure. It supports issuance, transfer, and redemption of Singapore dollar CBDC to reduce settlement risk and improve interoperability.

The system incorporates programmable settlement features that execute transactions automatically based on predefined conditions and supports atomic settlement of both cash and securities components to eliminate timing mismatches.

MAS plans a subsequent trial involving the issuance of tokenised MAS Bills to Primary Dealers, settled via the wholesale CBDC.