TCS' Quartz assisting Central Banks and Financial Institutions to roll out Central Bank Digital Currencies

12 Oct 2022 , 10:28 AM

Tata Consultancy Services (TCS) announced that it updated its award-winning Quartz solution to handle the whole lifecycle of Central Bank Digital Currency (CBDC) issuance, bookkeeping, and transactions for central and commercial banks.

A CBDC is a digital equivalent of government-issued bank notes, can assist a central bank in moving toward a globalised, secure, cost-effective, and traceable payments settlement system. While also promoting financial inclusion and countering threats posed by unregulated cryptocurrency markets. 

CBDC implementation is structurally distinct from other crypto assets due to the use of Distributed Ledger Technology in a permissioned blockchain format. While, real-time communication between market players ensures quick payments and decreased transaction costs.

TCS’ award-winning Quartz system can issue, trade, and settle a wide range of conventional and tokenized assets and manage payment activities.

It connects the traditional and digital worlds by assisting companies in managing the issuance and transactions of various types of digital assets without the requirement for a centralised third party. Central banks will be able to control the issue and distribution of CBDCs using the upgraded solution while commercial banks will be able to deal with other banks and payment service providers using CBDCs and provide their clients the capacity to maintain CBDC balances.

The coexistence approach of the solution will assist banks and other organisations in implementing CBDC-based services with minimum effect. The Quartz Gateway, with its microservices design and REST API availability, will assist banks in integrating the new solution with their existing systems. Banks can use these APIs for CBDC payments, settlements, and cross-border transactions in the same way that they do for fiat currencies.

At around 10.35 AM, TCS was trading at Rs3,098 per piece, up by 0.95% from its previous closing of Rs3,068.95 on the BSE. The scrip opened at Rs3,093.80 and touched intraday high and low of Rs3,105.75 and Rs3,063.25 respectively.

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