Hong Kong to broaden e-CNY pilot in move to boost cross-border payment efficiency
The Hong Kong Monetary Authority (HKMA) plans to expand its central bank digital currency (CBDC) testing to allow Hong Kong residents to open and top up digital yuan (e-CNY) wallets through the existing local fast payment system. Phase 1 of the pilot program, which ended in October 2023, involved domestic e-HKD retail use cases in areas like programmable and offline payments, and tokenized deposits. [Read more at the HKMA]
Congressional Committee rejects SEC rule blocking bank digital asset custody
The U.S. House Financial Services Committee passed a resolution to reject the Securities and Exchange Commission Staff Accounting Bulletin (SAB) 121 accounting rule. The resolution will be binding once the full House and Senate approve it. SAB 121 requires companies to put digital assets held in custody on their balance sheet as both an asset and liability. Because bank regulations base capital requirements on their balance sheet, digital asset custody is made prohibitively expensive. [Read more at Ledger Insights]
Bank Indonesia Still Testing Digital Rupiah
Bank Indonesia (BI) is reportedly continuing its digital rupiah but it is still in the conceptual design stage or proof of concept, and will not likely be launched this year (2024). [Read more at Kontan]
*For those interested in intra-day updates, check out my searchable Diigo Fintech developments database, which is also a good place to go to query for past developments: https://www.diigo.com/user/kiffmeister/ART.
Kiffmeister’s 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 (only) if you work at a central bank, ministry of finance or international financial institution (e.g., the BIS, IMF, OECD, World Bank) and 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
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