Advancing Settlement: Central Bank Money in Blockchain Payments

Settlement finality is the foundation of any payment system. Blockchain-based payment arrangements do not remove that requirement; they change where and how it is delivered.

Central bank money remains the highest-quality settlement asset. The design question is how it is represented and made available within tokenised arrangements without weakening the guarantees it provides.

Several models are being tested internationally, ranging from wholesale central bank digital currency to tokenised deposits settled against central bank balances.

For institutions in Saudi Arabia and the wider GCC, the practical priority is to understand which model their infrastructure and regulatory environment is converging towards, and to prepare accordingly.

Achieving same-day or T+0 settlement safely is an infrastructure and liquidity question as much as a technology one.