China’s mBridge transforms cross‑border payments, challenging dollar dominance

China’s mBridge platform, a pioneering multi‑CBDC network, has processed over $55 billion, signalling a significant shift in wholesale settlement and raising questions about future global currency dynamics.

China’s mBridge platform has moved rapidly from a BIS Innovation Hub experiment to a functioning cross‑border settlement network that supporters say is already reshaping wholesale payments and nudging at the dollar’s long‑standing dominance.

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ing to a report in Cryptocoin News, Project mBridge, led by the People’s Bank of China in partnership with the central banks of Hong Kong, Thailand, the UAE and Saudi Arabia, has processed more than $55 billion in transactions after reaching a minimum viable product stage in mid‑2024. Industry coverage by AINvest and Cointelegraph similarly places total transaction volume above $55 billion, and notes that the digital yuan (e‑CNY) accounts for roughly 95% of settlement flows on the network.

Official and industry tallies vary on the precise activity profile. PYMNTS reports that Project mBridge executed 4,047 cross‑border transactions with a cumulative value of $55.49 billion as of November 2025, while other outlets, including MEXC and The Block, cite figures topping $55.5 billion and describe continued momentum into early 2026. Some briefings also claim a far larger count of retail‑style payments, into the billions, on the platform; those accounts appear to use a different activity definition than the wholesale transaction totals reported elsewhere.

Technically, mBridge is a wholesale multi‑CBDC ledger built on distributed ledger technology with an Ethereum Virtual Machine‑compatible layer, enabling smart contracts and programmable payments for conditional settlements, trade finance and commodity trades. According to the lead coverage, central banks connect directly to the mBridge Ledger to validate transactions on behalf of commercial banks, enabling payment‑versus‑payment atomic swaps and peer‑to‑peer settlements that can clear in seconds rather than days. Industry stories put potential cost savings as high as 70% by cutting reliance on nostro‑vostro accounts, correspondent banking chains and associated FX hedging and compliance overheads.

The platform’s design and its growing use by public‑sector actors underline both its technical promise and geopolitical implications. Cryptocoins.news and PYMNTS describe a landmark UAE Ministry of Finance transaction that used the wholesale digital dirham on mBridge, while reporting indicates exporters tied to China’s Belt and Road Initiative have piloted on‑chain settlement workflows. That appeal, faster, cheaper, native‑currency settlement, is particularly acute for developing economies and trade corridors where dollar dependence and correspondent‑banking frictions raise costs and settlement risk.

Geopolitically, observers note the potential for non‑USD corridors to expand. Reports from Cointelegraph and other outlets highlight how mBridge reduces the need for a dominant third‑currency clearing step and could provide alternatives for jurisdictions concerned about SWIFT‑based vulnerabilities. The Bank for International Settlements’ Innovation Hub formally stepped back from operational control in late 2024, handing stewardship to the five member central banks; coverage at the time framed that as a political sensitivity step rather than a technical retreat.

mBridge’s rise is not without constraints. Commentators and industry reporting emphasise interoperability challenges with domestic payment rails, the need to scale security and compliance frameworks as volumes increase, and the practical limitations of achieving broad adoption when incumbent networks such as SWIFT retain ubiquity for many flows. SWIFT itself has been testing CBDC interoperability approaches, which analysts say could narrow the functional gap even if it remains tied to legacy messaging infrastructure.

Assessment of mBridge’s systemic impact varies. Some analysts described in the press frame it as an instrument of “de‑dollarisation,” while others stress that changes to global reserve balances and invoicing practices are gradual and driven by convenience, commercial needs and sanctions considerations rather than instantaneous currency substitution. Data cited across reporting shows the e‑CNY dominating activity on mBridge today, but broader international uptake of other CBDCs, such as a potential digital euro or India’s pilots, remains uneven and on a longer time horizon.

What mBridge does demonstrate, industry coverage concludes, is that programmable, multi‑CBDC settlement is technically feasible at scale and attractive for specific corridors and use cases. For banks, corporates and treasuries, the practical benefits, faster settlement, lower liquidity needs and conditional payment logic, are immediate. For policymakers, the platform offers a template for enhancing financial sovereignty and efficiency, even as it raises fresh questions about governance, surveillance and the geopolitical shape of cross‑border finance.

As reported by multiple outlets, the platform’s $55 billion milestone marks a pivotal test case: whether mBridge becomes one more specialised corridor optimiser or the kernel of a truly alternative settlement architecture will depend on interoperability, regulatory acceptance and how incumbent systems evolve in response.

Source: Noah Wire Services