Hedera Leaps Into Australia’s Digital Finance Future With Project Acacia

Hedera's DLT platform just plugged into Australia's financial infrastructure—and traditional banks should be sweating.

The blockchain player joined Project Acacia, a collaborative effort exploring tokenized assets and CBDCs Down Under. No more 'wait-and-see'—this is live-fire testing for next-gen finance.

Why it matters: Australia's $2T economy could become the proving ground for enterprise-grade blockchain solutions. Hedera's hashgraph tech promises faster settlements than legacy rails—assuming regulators don't strangle it in red tape.

The kicker? While banks still charge $30 for international transfers, Hedera's network settles cross-border payments in seconds for fractions of a cent. Somebody's 20th-century business model is looking rusty.

Project Acacia, a joint initiative between the Reserve Bank of Australia (RBA) and the Digital Finance Cooperative Research Center (DFCRC), has now incorporated several industry participants, including Hedera. On July 10, the distributed ledger technology (DLT) platform, Hedera, joined the RBA project to explore the evolution of digital assets in Australia. 

Hedera Participated in Project Acacia 

With Hedera’s participation in the RBA initiative, Project Acacia aims to explore the development of the Australian wholesale tokenized assets market with digital money and the existing settlement infrastructure. Driven by Hedera’s utility of Hashgraph technology, for faster, more secure, and more efficient transactions, Project Acacia aims to test real-world transactions. 

Furthermore, the RBA and DFCRC seek to understand how Hedera’s capability of unique technology in digital money and settlement methods can enhance efficiency, transparency, and reduce risks in Australia’s wholesale financial markets. 

Improving Innovation in Australia with Hedera 

The Australian government strives to research and embrace the use of advanced digital ledger technology (DLT) for the future financial infrastructure. By placing Hedera as a government-backed participant to guide Project Acacia, Australia aims to position itself as the leader in digital asset settlements and tokenized markets. All these factors also contribute to its leading position in innovation.  

Other Industry Participants in Project Acacia 

Besides Hedera, Project Acacia shortlisted a couple more DLT industry participants to oversee pilot use cases for central bank digital currency (CBDC) testing. All the selected platforms excel in their own field, making Project Acacia’s goal more plausible to achieve. 

• Redbelly Network: A blockchain platform designed for compliant on-chain tokenization of real-world assets. 

• R3 Corda: DKT platform powering the tokenization of assets and currencies, connecting global markets. 

• Canvas Connect: A privacy-focused layer 2 ZK network built for finance and the digital economy. 

• EVM-compatible networks: A blockchain that can run the Ethereum Virtual Machine (EVM) and execute smart contracts for Ethereum. 

Final Thought 

The Reserve Bank of Australia (RBA) stated that Project Acacia will allow industries and regulators to work together to reshape the financial services industry, while boosting efficiency and fostering economic growth. Australian Securities and Investments Commission (ASIC) highlighted that the participants will explore opportunities and tackle risks in the digital assets space.