The payment used the mBridge platform, a system designed to link multiple central bank digital currencies. The move was limited to federal and Dubai entities, not to banks or the general public.
Reports have disclosed that the transaction was handled end-to-end in under two minutes, a speed that officials highlighted as proof of technical readiness.
Some experts say this model could make it easier for central banks to settle with each other without routing everything through correspondent banks. A small test does not mean mass rollout. But the system was tested in a live setting, which moves it past lab trials and into operational territory, according to reports.
The pilot right now is narrow. It focused on payment flow between government accounts and on how settlements are recorded. Transaction monitoring, privacy safeguards, and operational controls were part of the checks.
According to public statements and media coverage, the Central Bank has indicated a phased approach toward broader use, with some earlier timelines pointing to a possible wider launch in Q4 2025.
If the authorities move forward, future phases could involve private banks, merchant acceptance, and consumer wallets. But regulators will need to resolve questions about privacy, cybersecurity, and how a CBDC will sit alongside existing bank deposits.
Decisions on these issues are likely to shape how quickly the program moves beyond government transfers.
Featured image from Manara Magazine, chart from TradingView
