Skip to main content

Saudi Monetary Authority Pumped Some of $13B Bank Infusion Using Blockchain


https://www.shutterstock.com/image-photo/riyadh-saudi-arabia-october-10-2015-506359834

Riyadh, Saudi Arabia (credit: Shutterstock/Andrew V Marcus)


The Saudi Arabian Monetary Authority (SAMA) has distributed cash to local banks over blockchain.

On Monday, the central bank announced that it had deposited “part” of a recent banking sector liquidity pump through “blockchain technology,” after injecting 50 billion riyals ($13.3 billion) into local banks on June 1.

At the time, SAMA said banks maintained an average Liquidity Coverage Ratio (LCR) of 201%, meaning Saudi banks had more than enough cash on hand to cover short-term obligations.

The banking sector’s average Capital Adequacy Ratio – essentially a measurement of financial soundness – was at 18.6%, placing the banks in line with the Kingdom’s longstanding target of between 18 and 20%.

SAMA did not disclose which banks received liquidity injections over blockchain or how much of the overall package SAMA had pumped across the blockchain. 

Furthermore, it did not state what blockchain platform it had used. 

The action appears to be the first case of SAMA providing liquidity via blockchain. 

It is not, however, the central bank’s first foray into blockchain tech. SAMA began trialing Ripple’s xCurrent for cross-border payments in 2018. 

A Ripple representative did not immediately answer questions regarding the company’s ongoing partnership status or whether xCurrent played a role in the SAMA liquidity pump.

Source: coindesk.com

Comments

Post a Comment

Contact us

Name

Email *

Message *

Popular posts from this blog

Cryptocurrencies Adding to the Safety and Security in the UK Gambling Industry

These are exciting times for the UK gambling industry. The impact of internet technology is now being felt with online gambling now controlling the industry.  The adoption of cutting-edge technology is reasonable for the boom in the industry. From live casinos, mobile apps to artificial intelligence, incredible trends continue shaping the gambling industry. However, it is the rise of cryptocurrency casinos that seeks to redefine UK gambling.  Many operators now include crypto coins such as bitcoin, Ethereum and Litecoin as part of their banking methods. Others offer exclusive bitcoin payments and promotions based on digital tokens. This revolutionary trend has a huge impact due to enhanced safety and security on these platforms. Players looking for peace of mind when playing online now opt to use cryptocurrencies. This post looks at how cryptos guarantee the safety and security of players at online casinos. How Cryptocurrency Gambling Works There’s a lot of talk ab...
Post a Comment
Read more

Coinbase to Require Recipient Information for Crypto Transfers From Users in Canada, Singapore and Japan

  Customers in those countries who send crypto outside their Coinbase accounts must provide recipients’ names, addresses and in some cases, additional information, as of early April. Cryptocurrency exchange Coinbase Global (COIN) will soon require its customers in Canada, Japan and Singapore who send cryptocurrency to another financial institution or exchange to provide the name, address and in the case of Japan, the destination wallet of the recipient. Coinbase has been sending notices to its customers in those countries that the changes will take effect in early April in order to comply with local travel rules in those places. Coinbase didn't immediately respond to requests for additional comment on the moves, but confirmed that they were taking place. The move  does not seem to be going over well  with Coinbase customers in those countries, who value the anonymity of transactions using cryptocurrency. According to a  FAQ provided by Coinbase , for Canadian users, ...
Post a Comment
Read more

Farm GRASS earn MONEY

  Use your Unused Internet Bandwidth to make $$$ In today’s interconnected world, the concept of passive income has taken on new dimensions, offering innovative ways for individuals to monetize underutilized assets.  One such groundbreaking avenue involves earning money by selling your unused internet connection.  By participating in decentralized networks like Grass, individuals have the opportunity to turn their dormant bandwidth into a valuable asset, contributing to a fairer and more equitable digital landscape while generating income. Grass is a decentralized network sharing application designed to offer an alternative to existing centralized networks.  It allows users to sell their unused bandwidth directly, without the need for exploitative middlemen.  The platform operates by enabling users to download a web extension that runs in the background, assisting others in accessing public web data in exchange for payment using the protocol’s native token. How ...
Post a Comment
Read more