The Bank of Thailand (BOT) has started using its central bank digital currency (CBDC) for financial transactions with some big businesses. The BOT is also thinking about expanding its use to the general public, but it will conduct a comprehensive study must be completed before taking such action. It mentioned that CBDC may have negative impacts on commercial banks by removing the need for a middleman in financial transactions, although, on the positive side, it would reduce the cost of financial transactions. In June the BOT had announced that it will develop a prototype of a CBDC-based payment system for businesses that will integrate CBDC with the procurement and financial management systems of the Siam Cement Public Company and its suppliers.
Japan puts central bank digital currencies on policy roadmap
Japan will look closer into whether to issue central bank digital currency (CBDC), the government reportedly said in its annual policy roadmap. In its first-ever reference to digital currency in the annual plan, the government urged the Bank of Japan (BOJ) to liaise with other countries to jointly examine its feasibility. “The BOJ will coordinate with other countries to consider CBDCs by examining and verifying technological tests,” according to the document, which serves as guidance for the government’s long-term economic and fiscal policies. The BOJ has said it has no immediate plans to issue a digital currency, it is conducting research with other central banks on the issue.
Anchorage Finance seeks safer crypto-asset loans
Anchorage has announced its users will be able to access crypto-backed loans—without their funds having to move anywhere. The new Anchorage Financing division is set to over a “seamless user experience” as borrowers will now be able to obtain loans and pay them back in one place. Anchorage has entered into a partnership with Silvergate Bank, which can fund loans and process repayments 24/7. The platform also offers a price monitoring system that automatically alerts borrowers whenever the value of their collateral approaches pre-established thresholds, preventing their positions from being liquidated. Meanwhile, live tracking means collateral coverage ratios can be monitored in real time.
Posted from Diigo: https://www.diigo.com/user/kiffmeister/Fintech