Canvas selected for Tokenised Foreign Exchange use case on it's ZK Layer 2 Privacy Network
The CANVAS use case, will seek to demonstrate foreign exchange trading of Australian dollar CBDC for USDC, a US dollar stablecoin, on the Canvas’ Financial Market Applications and its ZK Layer 2 privacy network – Canvas Connect.
Connect provides privacy, confidentiality, low cost, and instant transactions, on the public Ethereum blockchain which are the essential ingredients for digital finance. Canvas’ technologies demonstrate how blockchain eliminates FX market inefficiencies and settlement risks whilst ensuring confidentiality on a public blockchain.
“We believe blockchain, smart contracts, and Digital Securities, will radically transform finance and markets over the next decade,” said David Lavecky, Canvas Co-Founder & CEO.
“The potential markets for CBDCs in Foreign exchange trading and international remittances are significant,” he said.
“Our solution utilizes privacy-focused ZK Layer 2 technology to demonstrate that the use of CBDC and Digital currencies like USDC in FX trading and Remittances can potentially enable frictionless, 24x7x365 trading and global movement of foreign currencies. The solution has the potential to dramatically increase speed and reduce the risks and costs compared to traditional Foreign Exchange (FX) Trading & Remittance networks,” said Mr Lavecky.
“CANVAS was created in the belief that Blockchain technologies, Digital Assets, & Tokenisation will radically transform financial and capital markets over the next decade with trillions of $ in securities and currencies to be tokenized and traded 24/7/365 in a globally connected digital economy” he said.
“The CBDC pilot program is a critical development for digital finance in Australia, and we're honoured to be a part of it alongside other major industry financial institutions.” Said Mr Lavecky.
The CBDC pilot project selected industry participants demonstrating potential use cases; the project received a large number of use case submissions from a range of industry participants. Canvas, an Australian Fintech CoFounded by Daniel Lavecky and David Lavecky, is one of 14 use cases chosen to participate in the pilot, including the potential to provide insights into the possible benefits of a CBDC.
The live pilot will take place over the coming months.