National Bank of Georgia Selects Ripple Labs as Technology Partner for CBDC Pilot Project
The National Bank of Georgia (NBG) has chosen Ripple Labs as its official technology partner for a pilot project to explore the creation of a digital lari, the country’s central bank digital currency (CBDC), according to a press release from Ripple. The partnership between NBG and Ripple will involve planning and executing the pilot program using the Ripple CBDC Platform. The objective of the project is to evaluate the practical use cases of a digital lari and assess its potential benefits for the public sector, businesses, and retail users, as stated by NBG.
The NBG announced its plans to advance its CBDC project with the introduction of a limited-access live pilot environment in September. After a thorough evaluation of nine shortlisted companies, NBG selected Ripple Labs as its preferred technology partner due to its technical excellence, expertise, and ability to provide an end-to-end solution for minting, managing, transacting, and redeeming CBDCs.
Once the selection phase is complete, NBG will move forward to the pilot stage, testing the Ripple CBDC platform in a live environment to evaluate select use cases. Natia Turnava, acting Governor of NBG, expressed satisfaction with the selection, highlighting Ripple’s technical excellence and expertise. Both NBG and Ripple will collaboratively plan and execute the project’s rollout plan.
XRP Approved for Use in Dubai
In separate news, Ripple announced that the Dubai Financial Services Authority (DFSA) has approved the use of XRP within the Dubai International Financial Centre (DIFC). Licensed virtual asset firms within the DIFC can now incorporate XRP into their virtual asset services. Ripple commended the DFSA for becoming the first regime to approve XRP for use, joining other approved assets like BTC, ETH, and LTC. This approval provides XRP with regulatory clarity within the DIFC and allows institutions in the DIFC to facilitate faster and more efficient global value exchange.
Dubai has established itself as a jurisdiction that welcomes blockchain technology and digital assets. The region has developed a comprehensive regime for the DIFC, offering regulatory clarity and guidance to licensed firms. With the establishment of the Virtual Assets Regulatory Authority (VARA) and the publication of Virtual Assets and Related Activities Regulations 2023 guidelines, Dubai aims to protect investors, ensure risk assurance, and promote innovation. Ripple CEO Brad Garlinghouse praised Dubai’s pro-regulatory stance and expressed enthusiasm for Ripple’s continued presence and collaboration with regulators in the region.
Ripple believes that XRP’s listing in Dubai has the potential to unlock new regional payment and virtual asset use cases on the XRP Ledger. The selection of DIFC as Ripple’s MENA headquarters in 2020 reflects Dubai’s innovative regulatory environment and its reputation as a global financial center. The company plans to further strengthen its presence in Dubai.
