The China-led crypto platform mBridge has processed over $55 billion in cross-border transactions. The Chinese Digital Yuan dominates the platform with a 95 percent share of total volume.
Since initial pilot tests in 2022, the platform has grown 2,500-fold. The central banks of China, Hong Kong, Thailand, the United Arab Emirates, and Saudi Arabia are currently testing the technology. According to Atlantic Council data, over 4,000 transactions were processed through November 2025. Cumulative volume stands at $55.5 billion.
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Technology and functionality of the platform
mBridge (Multiple CBDC Bridge) is a platform for digital central bank currencies based on distributed ledger technology. It enables real-time payments and currency exchange between participating jurisdictions. Commercial banks settle transactions directly without using the traditional correspondent banking system.
The platform emerged in 2021 through collaboration between the Bank for International Settlements (BIS), the Bank of Thailand, the Central Bank of the United Arab Emirates, the Digital Currency Institute of the People's Bank of China, and the Hong Kong Monetary Authority. In June 2024, the Central Bank of Saudi Arabia joined as a full member. Over 25 institutions are observing the project, including central banks worldwide, the World Bank, and the IMF.
In November 2025, the UAE Ministry of Finance and the Dubai Department of Finance conducted the first government agency transaction on the platform. The transaction was executed using the digital dirham. Additionally, the UAE and China completed the first cross-border CBDC transaction on the Jisr platform in November, which builds on mBridge. Both transactions were conducted with participation from Sheikh Mansour bin Zayed Al Nahyan, Vice President of the UAE, and the central bank governors of China and the UAE.
BIS withdraws for geopolitical reasons
The Bank for International Settlements unexpectedly left the project in October 2024. BIS General Manager Agustín Carstens described the move at a banking conference in Madrid as the "conclusion" of a four-year engagement. The participating central banks could now continue the project independently.
The withdrawal came one week after the BRICS-Plus summit in Kazan, where Russian President Vladimir Putin proposed a "BRICS Bridge" as an alternative international payment system. Carstens clarified: "mBridge is not the BRICS Bridge." The BIS cannot work with countries subject to international sanctions. Both Russia and Iran are BRICS+ members. Western politicians had warned about a China-developed international financial system. The concern centers on limited enforceability of sanctions. mBridge bypasses the correspondent banking system, which represents the practical tool for sanctions enforcement.
The BIS is now focusing on Project Agorá, a competing initiative with seven Western central banks. These include the Federal Reserve Bank of New York, the Bank of England, and the Bank of Japan. Over 40 commercial banks are participating in the public-private project. The first phase is scheduled for completion in the first half of 2026.
Digital Yuan dominates transaction volume
The Chinese Digital Yuan accounts for approximately 95 percent of total transaction volume on mBridge. The People's Bank of China recently reported that the e-CNY has processed over 3.4 billion transactions worth approximately $2.4 trillion in total. This represents an increase of over 800 percent compared to 2023.
The early pilot project in October 2022 processed only 160 transactions with a total volume of $22 million. The current volume of $55.5 billion demonstrates the platform's exponential growth following the BIS exit. Activity on the platform has accelerated significantly since October 2024.
Alisha Chhangani of the Atlantic Council expects mBridge to increasingly focus on trade settlements. Energy and commodity transactions would be the focus, as China already plays a central commercial role in these sectors. "Project mBridge likely will not directly challenge dollar dominance but could gradually erode it," Chhangani said.
Geopolitical implications and technological shift
The development of mBridge is taking place in the context of increasing technological sovereignty. Technology providers from participating jurisdictions, particularly from China, have replaced Western providers. This corresponds to a geopolitical consensus among members to build their own technological capabilities.
U.S. President Donald Trump threatened massive tariffs on BRICS members using payment alternatives to the dollar. South Africa showed caution toward de-dollarization efforts. But China and other participants continue to push the project forward.
The platform does not represent a direct challenge to the dollar-dominated financial system. However, it creates parallel settlement infrastructures that reduce dependence on the existing system. While Western central banks with Project Agorá are still in the prototype phase, mBridge is significantly ahead in development.
Outlook on central bank digital currencies
mBridge demonstrates the practical feasibility of cross-border CBDC payments. The technology enables faster and more cost-effective transactions than the traditional SWIFT system. For trade between participating countries, the platform offers concrete advantages.
Further development will likely depend on the number of new participants. With Saudi Arabia, a major oil exporter joined in 2024. Additional commodity exporters could follow. The UAE's first government transaction in November 2025 also signals an expansion beyond commercial bank transactions.
Project mBridge shows the gradual construction of alternative financial infrastructures by central banks. Whether the platform develops into a global standard or remains regionally limited depends on regulatory and geopolitical developments. The competitive situation with the Western-led Project Agorá is likely to increase the pace of innovation in both camps.
