Australia Takes Bold Step into Digital Future with Major CBDC and Stablecoin Trial
The Reserve Bank of Australia launches Phase Two of Project Acacia, a groundbreaking trial combining CBDC, stablecoins, and bank deposit tokens. This ambitious initiative brings together major banks, fintech companies, and blockchain platforms in a coordinated effort to modernize Australia's financial infrastructure.
The Reserve Bank of Australia headquarters, leading the nation's digital currency innovation
RBA Launches Ambitious Digital Currency Project
In a significant move towards financial innovation, the Reserve Bank of Australia (RBA) has initiated Phase Two of Project Acacia, marking a progressive step in Australia's journey towards modernizing its financial infrastructure.
The comprehensive six-month trial, announced on July 10, 2025, demonstrates Australia's commitment to exploring next-generation financial technologies while maintaining its position as a leader in the Indo-Pacific financial sector.
Public-Private Partnership Drives Innovation
The trial brings together an impressive coalition of stakeholders, including three of Australia's major banks - Commonwealth Bank, ANZ, and Westpac - alongside innovative fintech companies and blockchain platforms. This collaborative approach exemplifies Australia's balanced strategy of embracing innovation while ensuring proper oversight.
'The repo market, with its critical role in liquidity management and monetary policy implementation, represents an ideal starting point for this exploration,' stated Sophie Gilder, Cud's managing director of blockchain and digital assets.
Regulatory Framework Adapts to Innovation
The Australian Securities and Investments Commission (ASIC) has demonstrated regulatory flexibility by providing relief for digital asset testing. This approach reflects Australia's commitment to responsible innovation in the financial sector.
'The relief from regulatory requirements will allow these technologies to be sensibly tested -- to explore opportunities and identify and tackle risks,' explained ASIC Commissioner Kate O'Rourke.
Key Trial Components
- 24 use cases, including 19 real money transactions
- Integration of stablecoins, bank deposit tokens, and wholesale CBDC
- Multiple blockchain platforms: Hedera, Redbelly, R3 Corda, and Canvas Connect
- Focus on various asset classes including fixed income and carbon credits
Balancing Innovation and Stability
While the trial represents significant progress, it maintains a careful balance between innovation and stability. The focus on permissioned blockchain technology reflects a pragmatic approach to financial modernization while ensuring necessary controls.
The outcomes of this trial, expected in early 2026, will likely influence not only Australia's financial future but also shape the global conversation around digital currencies and financial innovation.
Jack Thompson
Reporter based in Sydney, Jack covers climate issues, migration policies, and Australia's Indo-Pacific strategy.