The Bank of England has released new details about a proof-of-concept it has developed in partnership with distributed ledger startup Ripple. Among several fintech proofs-of-concept revealed by the UK central bank yesterday, one test involved Ripple's Interledger protocol, designed to facilitate transactions between different distributed ledger systems. The trial centered on a cross-border payment scenario in which "two different currencies" were "executed simultaneously in two different simulated RTGS [real-time gross settlement] systems," with blockchain potentially serving as means for synchronizing the settlement of transactions. According to its outline of the proof-of-concept, the Bank of England used the test in part as a springboard to investigate issues around liquidity, stating:

http://www.coindesk.com/uk-central-bank-tests-ripples-interledger-protocol-cross-border-payments/