mBridge, a project spearheaded by China, has processed approximately $55.5 billion in over 4,000 cross-border Central Bank Digital Currency (CBDC) settlements among central banks in Asia and the Middle East. China's digital yuan is the dominant currency on the mBridge platform, accounting for roughly 95% of the total transaction volume. This development highlights a growing interest in non-dollar settlement systems as global CBDC strategies begin to diverge.
mBridge Volume Growth and Participating Central Banks
According to data from the Atlantic Council, mBridge's transaction volume has reached approximately $55.5 billion. This figure represents a substantial increase, marking a roughly 2,500-fold rise since 2022. The platform is designed to facilitate wholesale cross-border settlements utilizing multiple central bank digital currencies.
The project was initially launched in 2021 through the Bank for International Settlements (BIS) Innovation Hub in collaboration with regional central banks. Since its inception, participating authorities have successfully completed thousands of live transactions. This ongoing activity demonstrates a renewed interest in exploring alternatives to the existing dollar-based settlement systems.
Within the mBridge framework, China's digital yuan, also known as the e-CNY, exhibits significant dominance in platform usage. Data cited by the Atlantic Council indicates that the e-CNY is responsible for approximately 95% of the total transaction volume. This concentration underscores China's pivotal role in driving settlement flows across the network.
Digital Yuan Expansion and Policy Changes
The People's Bank of China (PBOC) has reported that the e-CNY processed over $2 trillion in transactions during 2025. This achievement marks the sixth consecutive year of volume growth since the digital currency's launch in 2021. Furthermore, the central bank continues to conduct tests of the e-CNY with dozens of commercial banks.
On December 29, PBOC Deputy Governor Lu Lei announced a significant policy shift. Commercial banks that operate e-CNY wallets will soon begin to pay interest on the balances held within these wallets. This strategic change signifies a move beyond the e-CNY's initial function as a purely cash-like instrument.
Atlantic Council analyst Alisha Chhangani explained to Reuters that the primary objective of these initiatives is not to displace the US dollar. Instead, she stated that authorities are focused on building parallel settlement rails designed to reduce the reliance on existing financial systems.
BIS Exit and Global Policy Contrast
In October 2024, the Bank for International Settlements (BIS) announced its exit from the mBridge project, characterizing the move as a "graduation." BIS General Manager Agustín Carstens refuted claims that the platform facilitates sanctions evasion, asserting that BIS systems are not designed to serve sanctioned entities.
Following its departure from mBridge, the BIS has redirected its focus to Project Agorá, a new initiative involving Western central banks. Concurrently, divergent policy paths are emerging globally. On January 23, U.S. President Donald Trump signed an executive order banning the issuance of a U.S. federal CBDC, citing concerns related to privacy and financial stability.