In a recent announcement, Ripple revealed that it is working with the central bank for the production of the central bank's digital currency (CBDC).
The collaboration involves a personalized version of XRP Ledger from Ripple itself which was specially developed to produce and manage CBDC, described as a ‘game changer’.
Known as the CBDC Private Ledger, the ledger is 61,000 times more efficient than proof-of-work (PoW) blockchains.
At the same time, it is capable of producing digital assets with features such as XRP that can be used as a liaison for various currencies, including as a medium of payment.
Ripple guarantees that the ledger is capable of handling tens of thousands of transactions per second, with the potential to scale up to hundreds of millions of TPS over time.
For now, Ripple is still in talks with central banks around the world to clarify their goals and assess the extent to which the ledger is capable of realizing CBDC production objectives.
