The experimental PArSEC platform, an open-source platform designed with central bank digital currency (CBDC) in mind, has been launched by the Massachusetts Institute of Technology's (MIT).
MIT Digital Currency Initiative Launches The Experimental PArSEC Platform
The experimental PArSEC platform, an open-source platform designed with central bank digital currency (CBDC) in mind, has been launched by the Massachusetts Institute of Technology's (MIT) Digital Currency Initiative (DCI).
The technology outperformed public permissionless blockchains, according to the developers, performing 118,000 ERC-20 transactions per second on 128 hosts.
An automated market maker deployed on the platform might trade not just CBDCs but also bonds, tokenized securities, and buyback agreements, as PArSEC supports ERC-20 tokens.
The platform needs "significant" amounts of ongoing research, specifically in security, key management, and data migration capabilities, according to the developers.
Programmability is contentious because it enables limitations to be placed on a digital currency's uses, which, according to critics, might allow for state overreach in a CBDC by prohibiting specific purchases or imposing restrictions.
PArSEC is developed under Project Hamilton, a partnership between the DCI and the Federal Reserve Bank of Boston.
