2023/12/22 by Krzysztof Gogol, Johnnatan Messias, Gogol, Krzysztof +7 · 1 citation
Business, Management and Accounting · Computer Science · Economics, Econometrics and Finance · #Banking stability, regulation, efficiency #Blockchain Technology Applications and Security #Cryptography and Security (cs.CR) #FOS: Computer and information sciences #FinTech, Crowdfunding, Digital Finance #Social and Information Networks (cs.SI)
paper · pdf · doi:10.48550/arxiv.2312.16193
openalex publication_date 2023/12/22 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/28
This paper proposes a novel multi-layer blockchain architecture for the cross-border trading of CBDCs. The permissioned layer-2, by relying on the public consensus of the underlying network, assures the security and integrity of the transactions and ensures interoperability with domestic CBDCs implementations. Multiple Layer-3s operate various Automated Market Makers (AMMs) and compete with each other for the lowest costs. To provide insights into the practical implications of the system, simulations of trading costs are conducted based on historical FX rates, with Project Mariana as a benchmark. The study shows that, even with liquidity fragmentation, a multi-layer and multi-AMM setup is more cost-efficient than a single AMM.