Bank for International Settlements tests XRP Ledger for data verification

The Bank for International Settlements (BIS) has conducted a proof-of-concept test using the XRP Ledger (XRPL) to verify the integrity of official statistical data. The experiment focused on a data-verification system where datasets are converted into cryptographic fingerprints and anchored on the blockchain to ensure they remain tamper-proof after publication.

In its working paper, the BIS highlighted the XRPL’s “low fees, three to five second settlement and proven track record.” The testing process involved recording the root of a Merkle tree on-chain, with transactions occurring at a negligible cost. While the BIS is using the ledger for statistical data integrity rather than payment services, the test demonstrates the potential for blockchain technology to strengthen institutional data services.

Ripple CEO Brad Garlinghouse noted that the development is consistent with a trend of institutions exploring XRPL for its efficiency. He contrasted the rapid growth of the crypto asset class with the traditional, slower processes used by central banks for physical asset transfers.