Some of the world’s banking giants are participating in a brand new endeavor alongside the New York Federal Reserve. Global banks are partnering with the New York Fed for a 12-week digital dollar pilot.

The program, spearheaded by the New York Fed’s Innovation Center, will test how banks use digital dollar tokens. Additionally, some of the largest banks in the world are taking part in this experiment. At a time when consumer confidence for blockchain transactions is at a low, this news highlights the fact that there are still real-world use cases for this technology.

World Banks Testing Digital Dollar

It was announced today that a pilot program to test various banks’ utilization of digital dollar tokens is proceeding. The banks involved in the program include Citigroup, Mastercard, Wells Fargo, and others.

A statement, first reported by Reuters, noted the banks involved and what the project will entail. The New York Fed noted, “The project, which is called the regulated liability network, will be conducted in a test environment and use simulated data.”