Kiffmeister’s #Fintech Daily Digest (20220622)

Using CBDCs across borders: lessons from practical experiments

The Bank for International Settlements (BIS) published an update on BIS Innovation Hub (BISIH) experiments showing how central bank digital currencies (CBDCs) could help deliver faster, cheaper and more transparent cross-border payments. Collectively, the projects show that platforms with two or more CBDCs are technically feasible and offer a range of benefits that can lead to faster, cheaper and more transparent payments across borders. However, questions remain unanswered related to policy considerations, legal and regulatory frameworks, and basic operational economics that might call into question the viability of multi-CBDC platforms. [Read more]

Mojaloop Foundation Launches the Mojaloop CBDC Center of Excellence in Singapore

The Mojaloop Foundation launched its Mojaloop Central Bank Digital Currency Center of Excellence in Singapore to advance financial inclusion in emerging markets. Mojaloop is an open source payment platform based on the non-blockchain-based  Interledger Protocol. [Read more]

Tether To Launch GBP₮, Tether Tokens Pegged to the British Pound Sterling

Tether will be launching Tether tokens (“GBP₮”) pegged to British Pound Sterling in July. No further details were provided, such as how and where it will be backed. It will join four other fiat-currency pegged tokens Tether has in the market: the U.S. dollar-pegged USD₮, the Euro-pegged EUR₮, the offshore Chinese Yuan-pegged CNH₮, and MXN₮, the Mexican Peso-pegged stablecoin. [Read more]

Amsterdam to launch its own digital currency to promote local economy

Amsterdam plans to launch its own digital currency in the next four years. The coin can only be used in Amsterdam at the local entrepreneurs with the idea of boosting the neighborhood economy. The city council was inspired by Sardinia’s Sardex. Amsterdam is still working out the exact interpretation, for example, how consumers will get the coin, what it will be linked to, and who will participate. [Read more]

BIS G20 TechSprint 2022 Shortlist Winners

Over the last few days I’ve reported that the BIS Innovation Hub and Bank Indonesia had apparently chosen the projects that will be invited to showcase prototypes in a July workshop for the CBDC-focused G20 Techsprint. The BISIH have yet to publish them, but I picked up four from vendors themselves: BitMint (quantum-safe offline-capable peer-to-peer digital currency (DC) platform), Dragonfly Fintech (blockchain-based DC platform), Fluency (blockchain-based offline-capable DC platform), and Giesecke+Devrient (multiple-media offline-capable DC platform). Then thanks to Gieseke+Devrient’s  Tanja Heßdörfer, we have three more; Bitt and IDEMIA (offline-capable DC platform),  Extolabs (offline-capable DC platform), and R3 (blockchain-based DC platform). Now, thanks to BitMint’s Amnon Samid, we can add five more; Crunchfish (offline-capable DC), Dragonfly Fintech (blockchain-based DC system), paywith.glass (blockchain-based DC platform), Ripple (blockchain-based DC platform), and Roxe (blockchain-based CBDC).

Upcoming events I’m affiliated with:

The second session of the CBDC Think Tank CBDC Papers Lecture Series will be held on June 24 starting at 7am EST and run for 4 hours. [View list of papers and register here]

The CBDC Think Tank, in partnership with the International Monetary Fund and George Washington University, is hosting a full-day in-person CBDC Masterclass on October 12 in Washington DC. The sessions are designed as instructional deep dives with full presentations and Q&A components.  [Register here]