Share this article
France Trials CBDC, Blockchain for Government Bond Deals
The experiment is one of the EU’s largest to date, with nearly 500 transactions executed during trial.
Updated May 11, 2023, 4:54 p.m. Published Oct 19, 2021, 5:26 a.m.
Make us preferred on Google
France’s central bank has executed a series of bond transactions leveraging blockchain using its own digital currency as part of a 10-month pilot.
The Banque de France, along with a group of France’s largest financial market participants, executed the transactions using a system developed by U.S.-based IBM, according to a statement from securities depository Euroclear.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Nearly 500 instructions in both primary and secondary markets were executed, though the value of the transactions was not disclosed in a report published on Euroclear’s website.
BNP Paribas, Crédit Agricole CIB, HSBC and Societe Generale made up the consortium.
Led by Euroclear, the pilot also included large French banks as well as the French public debt office, per the report.
The CBDC trial, reported earlier by the Financial Times, is one of the European Union’s largest to date, with France regarded as one of the highest-profile eurozone members to launch such an experiment. Sweden, whose Riksbank is also toying with digitizing its national currency, uses the e-krona.
Earlier this year, the Banque de France published a request for proposals for central bank digital currency (CBDC) “experiment” applications in a bid to help it understand the risks and mechanisms of CBDCs. The bank has also engaged in a number of experiments using a CBDC for the wholesale market and cross-border payments as well as interbank settlements.
China is currently the largest economy leading the charge with the implementation of a CBDC for use within its domestic market and plans to extend its CBDC trials to foreigners visiting the nation during next year’s Winter Olympics, to be held in Beijing.
And while the EU and the U.S. are yet to develop to advanced stages, the threat of private cryptocurrencies, including stablecoins pegged to fiat currencies, has prompted a number of nations to pursue CBDCs.
“This project went well beyond previous blockchain initiatives because it successfully tested most central securities depository and central bank processes whilst eliminating current interim steps, such as reconciliation between market intermediaries,” said Soren Mortensen, global director of financial markets at IBM, as cited in the report. “We are rapidly moving towards fundamental change in the post-trade market infrastructure.”
Read more: Société Générale Shopping for Crypto Custodian: Sources
UPDATE (OCT. 19, 9:16 UTC): Changes sourcing to Euroclear, adds link to report.
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
Here's what bitcoin bulls are saying as price remains stuck during global rally
It's about a lot more than "zooming out." Supply overhangs and investor "muscle memory" regarding gold help explain bitcoin's poor absolute and relative performance.
What to know:
- Bitcoin has failed so far to act as an inflation hedge or safe-haven asset, lagging badly behind gold, which has surged amid high inflation, wars, and interest rate uncertainty.
- Crypto advocates argue that bitcoin’s weakness reflects a temporary supply overhang, investor “muscle memory” favoring familiar precious metals and its correlation with risk assets, rather than a collapse in long-term demand.
- Many bitcoin proponents still see BTC as a superior long-term store of value and “digital gold,” predicting that, once traditional hard assets are overbought, capital will rotate into bitcoin, allowing it to “catch up” to gold.
Top Stories
