The Central Bank of Lithuania (LB) has officially finished the research phase of the world’s first blockchain-based regulatory project.
The program called LBChain is the blockchain-based regulatory sandbox, intended for the Fintech companies. It involved the development and testing of the platform, that combines both technological and regulatory infrastructures for the blockchain ecosystem.
The official spokesperson of the Bank of Lithuania said:
The financial outfit has rolled out plans to back up the sector of the country that are not in the finance sector.
According to the report submitted to Europe World News, the financial powerhouse commenced and completed a Blockchain sandbox known widely as the LBchain.
The LBchain adopts the DLT technology to help the non-financial aspect of the economy, especially the finance and banking industry aspect.
It was reported that, the platform was designed to help financial companies and startups to conduct research, test and adapt their blockchain-based services into their businesses. According to the LBChain manager Andrius Adamonis:
LBChain has proved to have enormous potential. It is the cradle of future technologies, offering the opportunity of creating state-of-the-art solutions. Having been already tested by financial market participants, the platform may also be applied in such fields as energy or healthcare.
As it is known, the LBChain project was split into three phases, including a selection of eligible candidates, developments and testing of platform prototypes, and final testing and launching. Five companies were selected to take part in the final phase. The projects include solutions for both blockchain-based digital bank and regulatory reporting as well as the blockchain platform for the issuance of green bonds.
The bank of Lithuania will make use of the LBchain centers around a DLT technology that encompasses all the features of a modern-day Blockchain protocol to help the Financial sector of the country.
The new initiative is Blockchain-powered researched and powered and would generally be used in banks and other aspects of the economy that deserves it.
The newly designed platform is the first DLT powered platform in the country and will act as a watch for the sectors that would use it.
The government of the European country has said that they will be in charge of the platform which makes it the first one that will be government-managed.
Furthermore, it was reported that if everything goes as planned, the Lithuanian Banks plans to launch the platform before the end of the year or in the fourth quarter of the year.