Deutsche Bank, based in Germany, has announced the development of a Layer 2 protocol to address compliance issues associated with public blockchain technology under Project Dama 2.
Announcing Layer 2 Solution
Project Dama 2 aims to enhance the efficiency of public blockchains through a Layer 2 protocol, leveraging ZKsync technology to reduce transaction costs and ensure adherence to regulatory standards.
Technological Features of Project Dama 2
The solution aims to lower transaction costs while enhancing operational efficiency for compliance. A notable feature of the project is 'super admin rights,' exclusively for regulators to provide an added layer of transparency and security.
Project Plans and Prospects
Collaboration with firms like Memento Blockchain Pte. and Interop Labs enables Deutsche Bank to integrate advanced technologies. The MVP is slated for launch by 2025, pending regulatory approval. If successful, the project could serve as a model for other institutions integrating blockchain technology into traditional finance systems.
By aligning blockchain technology with compliance through Project Dama 2, Deutsche Bank might expedite broader blockchain adoption in the financial sector.
