Some central banks, such as the Bank of England, the European Central Bank, the Bank of Japan and the Swiss National Bank, are joining forces to explore crypto actives. World’s Central Banks Join Forces To Explore Crypto Actives And CBDC.
Some of the major global central banks are forming a commission that intends to explore cryptoactives, specifically their potential use cases and the creation of central bank digital currencies (CBDC) in their respective jurisdictions.
The announcement was made by the Bank of International Settlement (BIS) on its website, adding that the commission is joined by the Bank of England (BoE), the European Central Bank (ECB), the Bank of Japan (BOJ), the Bank of Canada (BoC), the Swiss National Bank (SNB) and Sveriges Riksbank of Sweden.
In December 2019, HowToFind reviewed statements by the current president of the ECB. The president said that it was necessary to “analyze the digital currencies of central banks.
World’s central banks join to explore crypto actives and CBDC
According to the BIS report, the commission will focus on the economic, functional and technical nature of a CBDC. All this in order to improve efficiency in the financial industry.
The committee will be chaired by the current head of the BIS innovation laboratory, Benoît Curé, and Jon Cunliffe, deputy governor of the Bank of England and chairman of the Committee on Payments and Market Infrastructures (CPMI).
For the Coingape environment, however, the prospect of a possible launch of sovereign currencies is far from a reality, as several regulatory gaps will need to be filled.
For example, China gave the green light to develop its digital currency in 2018. But, the country has not yet finished released it.
If the newly created commission is going to release any digital currency, it will be necessary to establish a lot of deliberation with institutions of the sector and in the forums, said the media Coingape.
He explained to The Block Crypto that BIS established a hub last June to foster international collaboration on innovative financial technology within the central banking community.
It later signed an operational agreement with the Swiss National Bank to open the center in the country. Also they will investigate the possible creation of a digital currency based on Blockchain.
In July 2019, HowToFind reported that BIS President Agustín Cartens had acknowledged that “central banks should soon issue their own digital currencies.
Cartens, by the way, will be one of the representatives of the crypto world at the World Economic Forum (WEF) that starts today, January 21.
Similarly, last Friday the director of the IMF, Kristalina Goergieva, said that the leaders of the 189 member countries of the IMF should be updated on Fintech and especially on Digital Currencies. For her, these are “a priority in 2020”.
For the Cryptopotato site, whether or not a CBDC is created from this initiative, the fact is that Blockchain-based technology and the digital assets based on it are receiving serious recognition.
Moreover, it comes from established institutions, which further legitimizes its use cases.