Payments Canada published a paper that explores global wholesale CBDC developments in different jurisdictions: Australia, Switzerland, United Arab Emirates and Saudi Arabia. This paper is the fourth installment in Payments Canada’s CBDC educational series. That aims to provide an understanding of a potential CBDC issuance in Canada, along with an exploration of the potential economic and social implications. [Read more]
An Arab Monetary Fund survey found that 76% of 17 Arab central banks are studying the possibilities of issuing central bank digital currency (CBDC), and three of them are participating in experiments to issue them. Two are expected to issue a CBDC in the next three years, while 60% of them expect to be able to issue within six years. 69% of Arab central banks are in the process of determining the type of CBDC issue, while 25% of them are involved in projects/studies to issue more than one type of CBDCs. Financial inclusion comes at the top of the motives to issue retail CBDCs, while for wholesale CBDCs it is combating money laundering and terrorist financing. [Read more]
The IMF published a high-level primer on key aspects of popular blockchain consensus mechanisms, aimed at financial supervisors at central banks, regulatory authorities, and government departments. It focuses specifically on how such mechanisms may impact the mandates of supervisors and policymakers when deployed in financial services markets. It could also help inform IMF staff on policy development and technical assistance related to crypto assets, stablecoins, and blockchains. [Read more]
Sharp price swings in cryptocurrencies are causing “destabilizing” capital flows in emerging markets, and the use of crypto in place of traditional currencies poses “immediate and acute risks”, Tobias Adrian, the IMF’s financial counsellor in an interview with the Financial Times. “It is a big challenge for policymakers in some countries… [as] crypto is being used to take money out of countries that are regarded as unstable [by some external investors].” [Read more]
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The CBDC Think Tank (CBDCTT) is hosting an in-person CBDC Workshop in Washington DC on February 24 exclusively for central bank and finance ministry staff looking to understand and position for CBDC issuance. [Register here]