While CBDCs might be the best option for those nations with existent currencies and mature banks, private stablecoins might help less advanced economies.
CBDC News
A central bank digital currency, or CBDC, is a digital version of a region’s fiat currency, put out by the region’s monetary authority. CBDCs gained a significant spotlight in 2020, with numerous countries expressing interest in their own versions of the asset type. Some countries pushed faster than others toward their own native digital currency. China, for example, moved quickly toward the prospect of its own CBDC, called the digital yuan.
The Bahamas burst on the central bank digital currency market in 2020 with the first CBDC. Called the Sand Dollar, the country’s CBDC is a national digital currency for the region, holding the same value as the Bahamian dollar. CBDCs differ from crypto-native stablecoins put out by crypto industry entities. Such stablecoins aim to track the value of underlying assets, such as the U.S. dollar, although the stablecoins themselves are not official regional currencies and are often overseen by companies.
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Having shown the application of its connector in complex use cases, SWIFT will continue to increase the connector’s functions.
7089The Riksbank designed a system using payment cards and shadow wallets, but security and accounting problems remain.
3944“If you don’t think the Fed is pursuing a CBDC, think again,” said U.S. Representative Tom Emmer.
12306Hong Kong’s central bank will accept proposals on potential use cases of a digital Hong Kong dollar from industry participants until May 17.
2044Although plans for a shekel CBDC have been in place since 2021, no pilot tests have since carried forward.
18456Buyers of his branded sneakers paid a lot of money for them, sometimes in crypto, the former president observed.
15056The digital euro intends to be the next evolution of the European currency, but before its inception, it has already caused division in Europe.
1108Federal Reserve Chair Jerome Powell says the U.S. is a “long way” from launching one, and even if it did, it wouldn’t spy on users.
3123Project Agila will first look at transfers between commercial banks and later try securities settlements and other high-value services.
2882The HKMA’s latest CBDC project will look at tokenized deposits in tokenized asset transactions.
1625The pioneering African CBDC has few users, but creating credit histories for them will promote financial inclusion.
6970United Kingdom policymakers are adopting a coordinated approach to establish regulations allowing cryptocurrencies, stablecoins and CBDCs to coexist.
8836Five United States senators have joined hands to fight President Joe Biden’s plans to issue a “digital dollar.”
13239According to the paper, a large, stable foreign CBDC is unlikely to affect the dollar’s utility as a value storage mechanism, but its use as a medium of exchange could be dampened.
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