🇨🇳 CHINA MOVES CLOSER TO LAUNCHING SWIFT ALTERNATIVE BACKED BY FIVE CENTRAL BANKS
China is advancing mBridge, a blockchain-based cross-border payment network backed by the central banks of China, Hong Kong, Thailand, the UAE, and Saudi Arabia.
The platform is designed to settle international transactions in seconds using central bank digital currencies, bypassing traditional correspondent banking rails and reducing reliance on the US dollar as the intermediary currency.
Originally launched under the Bank for International Settlements (BIS) in 2021, ownership of the project was transferred to participating central banks in 2024, with Beijing now taking a leading role in its development.
Supporters say mBridge can dramatically lower settlement costs, speed up international payments, and expand access for smaller businesses that struggle with the complexity and expense of existing cross-border payment systems.
If widely adopted, mBridge could strengthen the international use of the digital yuan, deepen trade ties between participating nations, and accelerate the emergence of a multipolar global payments system competing directly with SWIFT.