Canada's Big Six Banks Unite for Shared Digital-Dollar Network
Canada's six largest banks have joined forces to develop a shared digital-dollar network for tokenized deposits. The project, which involves RBC, TD, BMO, Scotiabank, CIBC, and National Bank, aims to enable instant and around-the-clock transfers between participating institutions.
The system, which is separate from the Bank of Canada's shelved digital-dollar consultation, will represent regular bank deposits as digital tokens on a shared ledger. This means that customers won't see any direct changes in how they interact with their accounts.
The banks have stated that the new system should be 'competitive and secure' while maintaining the safeguards that govern commercial bank money. They also hope to open the door for other Canadian deposit-taking institutions to join the network in the future.