Project Khokha 1 was among the 8 real-world blockchain case studies highlighted by ConsenSys in 2020.
Project Khokha 2 was launched after the success of the first iteration of the project.
According to IFWG, an innovation hub that brings together key South African financial sector regulators, Project Khokha 2 will issue, clear, and settle debentures on distributed ledger technology using tokenized money in a minimum viable product (MVP) to inform policy and regulatory reflections.
According to IFWG, industry participants will be able to purchase the debentures with a wholesale central bank-issued digital currency (wCBDC) and a wholesale digital settlement token (wToken).
The wToken can be seen as a privately issued stablecoin used for interbank settlement.
According to IFWG, the project is not support for a particular technology nor should it be seen to reflect on a radical policy shift. Insteead, the objective is to assist in formulating appropriate fintech-related policy frameworks through a throught leadership report.
Among the key South African banking and financial industry participants that joined Project Khokha 2 include: