A Singapore-based financial services business called DBS, is collaborating with open government products to establish a live test for the issue of purpose-bound money-based(PBM) vouchers as per Coinpedia. These vouchers are manufactured on a blockchain by utilizing tokenized Singapore dollars to offer real world live transactions with specific merchants.
Basically, this is a part of Project Orchid, a business initiative controlled by the MAS(Monetary Authority of Singapore) to develop the technical foundation and the Singapore dollar's programmability(DSGD). PBM vouchers will be manufactured using blockchain technology while DBS- issued DSGD, along with smart contract capabilities formed by OGP. This will result in allowing issuers to plan and maintain the distributed and use of vouchers for specific recipients.
In other words, when customers use digital vouchers, SMEs and firms along with retail shopfronts will be capable to get benefited of fast settlement, payments, and collections through their banks. However, small firms that are short on time and resources will take advantage from an increase in cash flow and time savings on administrative backend activities. At present, it consumes one to two days for the money to be processed before retailers can actually see it paid into their respective bank accounts.
According to Coinpedia, the CDC(Community Development Council) voucher program provides Singaporean households with CDC vouchers to support them deal with enhancing inflation and the cost of living. Most of these vouchers are now digital, while the retailer must still do some backend administration. With PBM vouchers, payments to merchants would be made with no less time, declining the necessity for backend reconciliation and strengthening productivity as well as efficiency.
Basically, this is a part of Project Orchid, a business initiative controlled by the MAS(Monetary Authority of Singapore) to develop the technical foundation and the Singapore dollar's programmability(DSGD). PBM vouchers will be manufactured using blockchain technology while DBS- issued DSGD, along with smart contract capabilities formed by OGP. This will result in allowing issuers to plan and maintain the distributed and use of vouchers for specific recipients.
In other words, when customers use digital vouchers, SMEs and firms along with retail shopfronts will be capable to get benefited of fast settlement, payments, and collections through their banks. However, small firms that are short on time and resources will take advantage from an increase in cash flow and time savings on administrative backend activities. At present, it consumes one to two days for the money to be processed before retailers can actually see it paid into their respective bank accounts.
According to Coinpedia, the CDC(Community Development Council) voucher program provides Singaporean households with CDC vouchers to support them deal with enhancing inflation and the cost of living. Most of these vouchers are now digital, while the retailer must still do some backend administration. With PBM vouchers, payments to merchants would be made with no less time, declining the necessity for backend reconciliation and strengthening productivity as well as efficiency.
