Development of Digital Currency Using Distributed Ledger

Abstract

This paper proposes a design pattern for implementing Commercial Bank Digital Currency which consists of two main layers – distribution and user constructed on top of a permissioned blockchain network based on Hyperledger. Essentially, distribution part deals with the central banks sending digital currency to commercial banks, while user layer enables the provision of digital currency services to the general audience via commercial banks. A system's design based on Hyperledger blockchain a solution that allows modularity and adjustability of its components, as well as a system model and its operations, and scalability and lists of a variety of benefits such as more transparency, increased operation efficiency, and improved adherence to regulations. The outcomes of the study can be used to get insights into the possible design patterns and effects of using CBDC powered by the Hyperledger.