I’ve updated my tabulation of retail central bank digital currency (CBDC) explorers. There are still 93 central banks that have recently issued, piloted, experimented with and/or researched retail CBDC, but some of the links have been updated and categorizations shuffled. [Click here]
Ghana: e-Cedi launch delay due to economic challenges – BoG
The Bank of Ghana (BoG) is delaying the launch of its e-Cedi central bank digital currency (CBDC) due to the impact of economic dislocation caused in 2022. The pilot phase has been completed, with selected consumers at Sefwi Asafo in the Western North Region using the currency to buy items, goods, food and services, including when users were offline. “At a certain point, [the BoG] will go back to the e-Cedi project and decide on the launch date.” [Listen to Governor Dr. Ernest Addison’s speech on Facebook starting at the 50:00 mark]
National Bank of Denmark Governor says low cash usage doesn’t justify retail CBDC
National Bank of Denmark (DNB) Governor, Signe Krogstrup, delivered a speech on March 9, 2023 arguing that the decline in the use of cash in Denmark does not necessarily justify the issuance of a retail CBDC. He does not believe that the decline in cash per se is a substantial risk to monetary and financial stability, and doesn’t reflect the sort of erosion of trust that would warrant a retail CBDC. He argued that commercial banks still have to hold central bank reserves, so central bank money is still at the core of the financial system. [Read more at the DNB]
Stacking up the benefits: lessons from India’s digital journey
The IMF published a paper on India’s foundational digital public infrastructure (DPI), consisting of unique digital identification, payments system and data exchange layers, It has been harnessed to foster innovation and competition, expand markets, close gaps in financial inclusion, boost government revenue collection and improve public expenditure efficiency. In the paper’s view, India’s journey in developing a world-class DPI highlights powerful lessons for other countries embarking on their own digital transformation, in particular a design approach that focuses on shared building blocks and supporting innovation across the ecosystem. [Read more at the IMF]
Upcoming conferences, webinars and speaking engagements:
- I’ll be moderating a panel on “what happens when the lights go out…different schemes for offline functionality” at the in-person Digital Currency Conference (DCC) in Mexico City on May 18. [Register here]
Kiffmeister’s global central bank digital currency monthly monitor
Just a reminder that I produce a monthly digest of central bank digital currency (CBDC) developments exclusively for the official sector. So for any of you out there who work for a central bank, ministry of finance or international financial institution who would like to receive it by email on the first business day of every month, please DM me on LinkedIn or email me at chronicles@kiffmeister.com.
The Sovereign Official Digital Association (SODA) is a technology-agnostic firm offering advisory services at the intersection of central banking, digital finance and the web3 industry, aiming to make public digital money a reality. SODA believes institutions in the existing financial ecosystem should have access to the tools and resources they need to move from discussion to action. SODA offers ‘real life’ use cases to help test digital money and drive adoption as central banks and other public institutions explore the future of a more financially inclusive world powered by interoperable blockchain-based networks. SODA would love you to join us on this journey – please get in touch (chris@sodapublicmoney.org).
Satoshi Capital Advisors is a New York-based, global advisory firm that works with central banks, governments, and the private sector to architect, implement, and operate varying initiatives. Satoshi Capital Advisors’ central bank work revolves around CBDC architecture and implementation, providing advisory services from research phase through to growth phase. Utilizing a product-market fit and technology agnostic approach to CBDC architecture and implementation enables Satoshi Capital Advisors to build tailored solutions, bespoke to local financial system nuances. Satoshi Capital Advisors welcomes requests from central bank officials for virtual and in-person CBDC workshops. [Click here for more information]
WhisperCash offers the first fully offline digital currency platform that has the same properties as physical cash. It can perform secure consecutive offline payments without compromising on security, privacy or accessibility. WhisperCash allows direct person to person offline payments without any server infrastructure or internet connectivity. It comes in various form factors including the self-contained credit card-sized “Pro” that sports an eInk screen and capacitive keyboard, and lasts for two weeks between recharges assuming a few transactions per day. [Click here for more information]
