China-led mBridge platform processes $55.5B in cross-border CBDC transactions

China-led cross-border central bank digital currency platform mBridge has processed more than $55.5 billion in transactions, according to data compiled by the Washington-based Atlantic Council. The platform has settled over 4,000 cross-border transactions, a nearly 2,500-fold increase since the project’s early pilot phase in 2022.

mBridge is currently being tested by central banks in mainland China, Hong Kong, Thailand, the United Arab Emirates and Saudi Arabia, and China’s digital yuan, or e-CNY, accounts for an estimated 95% of total settlement volume on the platform. China is also scaling its domestic CBDC infrastructure.

People’s Bank of China figures show the e-CNY has processed more than 3.4 billion transactions worth around 16.7 trillion yuan (about $2.4 trillion), an increase of over 800% compared with 2023. As Cointelegraph reported, the PBOC is introducing a framework to allow commercial banks to pay interest on e-CNY wallet balances and to integrate the digital yuan into banks’ asset and liability management; PBOC Deputy Governor Lu Lei said the e-CNY will transition into a 'digital deposit currency' to support value storage and cross-border payments.

Observers see these moves as part of a gradual expansion of the yuan’s internationalisation through digital infrastructure. Atlantic Council analyst Alisha Chhangani told Reuters that partners are building parallel settlement rails that reduce dependence on dollar-centric systems.

Key Topics

Crypto, Mbridge, Digital Yuan, Pboc, Atlantic Council, Bis