Saudi Arabia has ended its formal participation in the mBridge cross-border central bank digital currency project, after completing its proof of concept in May 2025. The Saudi Central Bank, or SAMA, said it completed the trial on May 13, 2025, and was no longer a participating member.
The decision comes as mBridge continues to attract attention because its blockchain-based system allows participating countries to settle cross-border payments using their own digital currencies without necessarily using the US dollar as an intermediary.
SAMA said its departure was part of the original plan for its involvement in the project. The Saudi central bank first joined mBridge as an observer in 2023 under the Bank for International Settlements. It later participated in developing the platform’s minimum viable product and conducted its proof of concept.
JUST IN: 🇸🇦🇨🇳 Saudi Arabia withdraws from Chinese-led digital currency & blockchain payment system that reduces reliance on the US dollar.
— Watcher.Guru (@WatcherGuru) September 20, 2026
Saudi Arabia became an active participant in 2024 alongside China, Hong Kong, Thailand and the United Arab Emirates. The BIS later left the project in October 2024.
The Saudi withdrawal has attracted attention because of the geopolitical importance of mBridge. The platform allows central banks and commercial banks to conduct cross-border payments and foreign exchange settlement using digital versions of national currencies. This could reduce the need for correspondent banking arrangements and the use of the dollar as an intermediary currency in some transactions.
However, people familiar with the situation have offered different views about the significance of Saudi Arabia’s departure. One person cited by the Financial Times said it would be inaccurate to draw a wider conclusion from the decision because SAMA’s involvement in mBridge had been limited from the beginning. Another person said the central bank no longer wanted to be publicly involved in the project but continued to engage more discreetly.
The project has attracted scrutiny in the United States. Former US national security official Daleep Singh warned in 2025 that China could gain influence over standards related to privacy, security, interoperability and sanctions through systems such as mBridge. Former US officials have also raised concerns about projects that could reduce reliance on the dollar in international trade.
At the same time, economists have pointed to the practical reasons countries may be interested in such systems. Cornell University professor Eswar Prasad told the Financial Times that some US allies viewed projects such as mBridge as economically useful because they could reduce excessive dependence on the dollar-dominated international financial system.
The BIS has said its departure did not mean that mBridge had failed. Its former general manager Agustín Carstens said the participating central banks were capable of continuing the work themselves after the project had reached a stage where the BIS could step away.
The network has continued to develop. Macau joined the system, and the platform went live there in June 2026, giving local banks access to the cross-border CBDC infrastructure.
China is also developing other channels for international digital yuan payments. In July, Industrial and Commercial Bank of China completed a digital yuan payment between China and Singapore involving nearly 10 million yuan in import shipping fees. China has also expanded its domestic e-CNY network, with eight commercial banks added in August, taking the number of service operators to 30.
The latest developments show that cross-border CBDC infrastructure continues to evolve even as individual countries adjust their participation in specific projects. Saudi Arabia’s formal departure from mBridge therefore comes alongside broader efforts by China and other countries to develop new digital payment and settlement channels.
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