The National Bank of Georgia (NBG) has made a significant move in the world of central bank digital currencies (CBDCs) by choosing Ripple Labs as its official technology partner for the development of the Digital Lari, Georgia’s CBDC project.
In a statement released by Ripple, the partnership is set to cover the implementation and deployment of the Digital Lari pilot initiative through the Ripple CBDC Platform. This strategic collaboration will allow the National Bank of Georgia to explore the potential applications of the Digital Lari across various sectors, including government, enterprises, and individual retail users.
The rigorous selection process that led to Ripple’s designation as the NBG’s technology partner began with the National Bank of Georgia’s announcement in September, where they outlined their intention to launch a Limited Access Live Pilot Environment for their CBDC project. The decision to select a sole technology collaborator for this crucial initiative followed.
In the initial stage of the process, the NBG meticulously considered nine firms based on their technological expertise, maturity, capabilities, relevant experience, and eagerness to participate in the practical assessment. Notable entities like AUGENTIC GmbH, Bitt Inc., Broxus Holdings Ltd., Currency Network Ltd., DCM Corp Limited, among others, were among the contenders. Ultimately, Ripple emerged as the preferred protocol for the Digital Lari initiative.
The selection committee’s decision took into account factors such as Ripple’s profound understanding of the project’s objectives, its potential applications, and its unwavering commitment to the project’s success, as outlined in NBG’s announcement.
This partnership follows Ripple’s recognition by Currency Research in July for its contributions to Digital Currency Advancement and Best Sustainability Initiative, particularly for its role in fostering innovation in the realm of CBDCs.
Prior to its collaboration with the National Bank of Georgia for the Digital Lari initiative, Ripple had actively engaged with organizations interested in exploring CBDC implementations. Notably, Ripple had partnered with Colombia’s Central Bank, Banco de la República, to investigate the applications of blockchain technology in its Digital Peso pilot, utilizing the Ripple CBDC Platform.
