Category: Wallets

Kiffmeister’s #Fintech Daily Digest (20260416)

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Factors that Promote Adoption and Use of a CBDC Wallet in Peru (IDEAS)

Banco Central de Reserva del Perú (BCRP) economists examined the determinants of adoption and usage of Peru’s retail central bank digital currency (CBDC) pilot, implemented through Viettel’s BiPay digital wallet beginning in October 2024, focusing on eight regions with low financial inclusion. Based on individual-level survey data, active CBDC usage was positively associated with awareness of the BCRP’s role in the pilot, wallet satisfaction, knowledge of functionalities, and prior digital wallet use, while self-employment was negatively associated, plausibly due to the pilot’s closed-loop, non-interoperable design. Targeted advertising significantly increased merchant adoption, active user counts, and bill payment volumes, with merchant network expansion identified as a key transmission channel. The authors conclude that retail CBDC scaling requires attention to both sides of the payment market — user-facing communication and financial incentives on the demand side, merchant onboarding on the supply side — with interoperability remaining a persistent structural barrier to broader adoption. [IDEAS]

South Korean Government to Test Tokenized Deposits on Disbursements (MOEF)

South Korea’s Ministry of Economy and Finance (MOEF) will run a regulatory sandbox pilot in Sejong City to use distributed ledger technology (DLT) based tokenized bank deposits for day‑to‑day government operational spending, testing preset time, amount, and category controls on expenses to improve oversight and reduce misuse, with legal and regulatory changes and nationwide rollout targeted from Q4 2026 as part of a broader plan to digitize around a quarter of treasury disbursements by 2030, building on an earlier tokenized‑deposit subsidy pilot for EV charging infrastructure. https://cointelegraph.com/news/south-korea-pilot-tokenized-deposits-government-spending [MOEF]

Tether Launches tether.wallet Self-Custodial Digital Wallet (Tether)

Tether has launched tether.wallet, a self‑custodial digital wallet intended to extend its stablecoin‑based payment infrastructure directly to end users in over 160 countries. The product aggregates access to Tether’s digital dollars (USD₮, USA₮), gold (XAU₮), and Bitcoin across multiple networks, abstracts away gas‑token management, and enables transfers via simple human‑readable identifiers, reducing frictions that have limited previous wallet adoption. This move potentially deepens dollarization dynamics in high‑inflation and underbanked jurisdictions while bypassing bank‑intermediated channels. [Tether]

Central Banks of UAE and Philippines Agree to Link Instant Payment Systems (CBUAE)

The Central Bank of the United Arab Emirates (CBUAE) and the Bangko Sentral ng Pilipinas (BSP) signed a memorandum of understanding (MoU) to support broader cooperation on financial infrastructure and payments connectivity. This includes working to integrate their instant payment platforms to enable seamless cross-border payment transactions. The MoU also provides for collaboration on central bank digital currency (CBDC) initiatives, including sharing expertise on the development of CBDC platforms for individuals and institutions. [CBUAE]

FYI I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20260305)

~ kiffmeister

Call for Payment Service Providers to Participate in Digital Euro Pilot (ECB)

The European Central Bank (ECB) has opened applications for euro area licensed payment service providers (PSPs) to join a twelve‑month digital euro pilot in the second half of 2027. It will use a non‑legal‑tender “beta” digital euro in a controlled environment to test technical, operational and user experience (UX) aspects of P2P (online/offline) and P2B payments at physical and online points of sale. PSPs will onboard users and merchants without remuneration, be selected based on eligibility plus weighted criteria (compliance status, technical capacity, market presence, geographic/segment coverage, delivery track record), and then work directly with national central banks and Eurosystem teams. The ECB has published technical and procedural documentation and PSPs must apply by May 14, 2026, with the whole exercise framed as preparatory and conditional on future EU legislation and a separate decision to issue a digital euro. [ECB]

Towards a Consistent Regulatory Approach to Illicit Payments (BIS)

The Bank for International Settlements (BIS) published a paper that develops a framework for how illicit payment rules, centered on whether payment instruments rely on intermediaries, shape both illicit and legitimate users’ choice among payment instruments. Because detection probabilities differ by design and by whether instruments fall inside or outside anti-money laundering (AML) scope, actors shift activity toward instruments with the lowest expected detection and sanctioning, undermining overall effectiveness and prompting iterative regulatory expansion. Illicit payment measures also constrain informational privacy and freedom of choice for legitimate users, creating a privacy–integrity trade off moderated by data protection regimes and trust in public authorities. The paper argues for a forward looking architecture that applies uniform, risk based lex generalis AML/CFT and data protection requirements across all intermediated instruments, while using lex specialis tools such as transaction/holding limits, reliance on touch points, and additional duties on issuers or platforms for instruments without intermediaries, to reduce regulatory driven substitution across payment instruments while preserving both integrity and user privacy. [BIS]

Targeted Report on Stablecoin and Unhosted Wallet P2P Transactions (FATF)

The Financial Action Task Force (FATF) published a report that concludes that stablecoins, now a major share of on‑chain and illicit virtual‑asset activity, create elevated money laundering/ terrorist financing/ proliferation financing (ML/TF/PF) risks, especially via P2P transfers through unhosted wallets outside direct anti-money laundering/ countering the financing of terrorism/ counter proliferation financing (AML/CFT) controls. FATF affirms that stablecoins are virtual assets and that issuers, intermediaries and relevant DeFi actors must be regulated as virtual asset service providers (VASPs) or financial institutions under Recommendation 15, with licensing, supervision, Travel Rule compliance and sanctions screening. Jurisdictions are encouraged to build stablecoin‑specific regimes, require issuers to embed technical controls (freeze, burn, allow/deny‑lists) and strengthen cross‑border supervisory cooperation and data collection on P2P use. The report stresses expanded use of blockchain analytics, targeted controls on transfers to unhosted wallets, structured public‑private partnerships, and detailed red‑flag indicators to guide monitoring and investigations. [FATF]

New Recommendations for Public Payment Preparedness (Riksbank)

Sveriges Riksbank issued new recommendations on “public payment preparedness,” urging households to see themselves as part of Sweden’s total defence and to maintain multiple means of payment so essential purchases can continue during disruptions, crises or war in an increasingly digitalized environment. It advises adults to hold at least SEK 1,000 in cash at home (in mixed denominations) for roughly a week’s essential spending and to use cash periodically so cash infrastructure remains robust, to have at least two payment cards linked to different card networks (e.g. Visa and Mastercard), to ensure access to a mobile payment service such as Swish that relies on different infrastructure than cards, and to keep physical payment cards and PINs accessible even if mobile wallets are normally used. The recommendations feed into the Riksbank’s broader work on national payment contingency and will also feature in the Payments Report 2026, due on March 12, 2026. [Riksbank]

Upcoming Speaking Engagements:

The Digital Euro Conference 2026 (Frankfurt, March 26) will explore the future of money with a focus on CBDCs, stablecoins, and commercial bank tokens. This hybrid event offers the perfect platform to understand the future of digital money! [Register here and get 20% off the regular ticket price by using the Kiffmeister20 code!]

I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20250819)

~ kiffmeister

Wyoming State Debuts U.S. Dollar Stablecoin on Seven Blockchains (Coindesk)

The Wyoming Stable Token Commission has launched the first fully-reserved, U.S. state-backed stablecoin, with reserves held in U.S. dollars and Treasuries. The Frontier Stable Token’s (FRNT’s) stability is fortified with a legislatively-mandated remit to achieve 2% over-collateralization. It is initially available on seven blockchains, including Ethereum, Solana, and Polygon, and will soon be accessible on major platforms such as Kraken and Rain. The Commission has partnered with LayerZero for token issuance, Fireblocks for blockchain infrastructure, Franklin Advisers for reserves management, Inca Digital for open-source intelligence and The Network Firm for audits and monthly attestations. FRNT will be made available for purchase on the Solana blockchain through Wyoming-domiciled digital asset exchange Kraken, as well as Rain’s Visa-integrated card platform on the Avalanche blockchain. [Read more at the Commission]

Status of Digital Tenge Implementation in Public Spending (NBK)

[July 10, 2025] National Bank of Kazakhstan (NBK) Chief Digital Officer Binur Zhalenov posted an update on progress of the digital tenge implementation for public finance purposes. More than ten public spending use cases already tested — including Digital VAT refunds, targeted funding for road repairs, National Fund-financed projects, and cross-border payment scenarios. Integration models with government information systems are being developed — paving the way for full-scale operations by the end of 2025. New pilots include the “Safe Deal” for real estate and vehicles, voucher scheme for state support measures, lending to the agro-industrial complex, construction projects, and procurement of high-value goods (medical and IT equipment). [Read more on LinkedIn]

Security Features and Risks in Digital Asset Wallets (Electronics)

Electronics published a paper that reviews and compares ID wallets, payment wallets, and cryptocurrency wallets by examining their core functions, technologies, and evolution. It highlights common and unique security threats for each type—such as credential leakage for ID wallets, tokenization needs for payment wallets, and key loss for crypto wallets—while analyzing how innovations like multi-factor authentication and distributed key management attempt to address these risks. The paper emphasizes that as digital identity and asset management systems merge into universal “super-app” wallets, new security vulnerabilities and design challenges arise, necessitating holistic solutions that span traditional banking, digital identity, and cryptocurrency domains. The paper aims to provide a foundation for understanding and improving the security of next-generation digital wallets as technologies and use cases continue to converge. [Read more at Electronics]

Upcoming Speaking Engagements:

The CB+DC Conference (Nassau, Bahamas, September 9-11) is a premier gathering centered on CBDCs, tokenized assets, and stablecoins. It provides a forum for central bankers, commercial bankers, technology innovators, policymakers, and academics to explore the latest advancements in digital currency, engage with experts and peers, and discuss the future of digital currency. [Register here but before you do, email me at john@kiffmeister.com for a 15% discount]

I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20241108)

~ kiffmeister

Exploring the role of digital money in wholesale tokenized asset markets (RBA)

The Reserve Bank of Australia (RBA) and the Digital Finance Cooperative Research Centre (DFCRC) published a consultation paper which seeks industry feedback on a new research initiative, Project Acacia. This project will explore how different forms of digital money and associated infrastructure could support the development of wholesale tokenized asset markets in Australia. The consultation paper seeks expressions of interest from industry in participating in an experimental research phase for Project Acacia, and in joining an Industry Advisory Group for the project. Input is also sought on the technical and functional capabilities of new forms of settlement infrastructure and digital money, including wholesale central bank digital currency (CBDC) and tokenized bank deposits, that could promote well-functioning tokenized asset markets and stability in the financial system. [Read more at the RBA]

Digital yuan visual hard wallet launched (Global Times)

The People’s Bank of China (PBOC) launched a credit card-sized digital yuan (e-CNY) hard wallet that supports online and offline payments, and features a screen that displays balance and payment details, and dynamic QR codes for payments. The digital wallet enables both “tap-to-pay” and “scan-to-pay” options, letting merchants accept payments on POS machines, scanners and mobile devices, without requiring new hardware. The wallet is reportedly already available for public transport payments in some cities. [Read more at Global Times and iHome.com]

An earlier version launched in 2021 included buttons so that users could enter the payment amount and the e-ink visual display was small (see below). [Read more at Ledger Insights]

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Upcoming Speaking Engagements:

  • Digital Euro Conference 2025, Frankfurt, March 27, 2025. The DEC25 conference will explore the future of money with a focus on CBDCs, stablecoins, tokenized deposits, and the intersection of AI and digital ID. When you register, get 20% off the regular ticket price by using the Kiffmeister20 code! [Find out more and register here]

And 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 john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20241105)

~ kiffmeister

Crypto firms launch Paxos stablecoin-based global network (Paxos)

A consortium of fintech and crypto-asset companies launched the Global Dollar Network based on the U.S. dollar-pegged USDG stablecoin issued out of Singapore by Paxos. Paxos claims that USDG is “substantively compliant with the upcoming Monetary Authority of Singapore (MAS) stablecoin framework. Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei, Paxos and Robinhood are the initial partners. What is unique about USDG, versus the dominant stablecoins, is that partners (financial services and blockchain firms) receive up to 100% of the revenues generated by USDG’s backing assets, and earn additional revenues for minting and acceptance. [Read more at Paxos]

Eurosystem and 5 Asian central banks advance Project Nexus implementation (BIS)

The five Project Nexus central bank partners (India, Malaysia, the Philippines, Singapore, and Thailand) established the Singapore-based Nexus Scheme Organization (NSO) managing entity, which will manage the project in its live implementation stages. Nexus was launched in 2021 by the Bank for International Settlements (BIS) Innovation Hub to enhance cross-border payments by connecting multiple domestic instant payment systems (IPS) globally. The European Central Bank (ECB) also joined Nexus as a special observer as part of exploratory work on linking its TARGET Instant Payment Settlement with other fast payment systems. While the BIS will not own or operate the NSO, it will continue its support by playing a technical advisory role. [Read more at the BIS]

MAS announces plans to support asset tokenization commercialization (MAS)

The Monetary Authority of Singapore (MAS) outlined its vision for how to take the next step from asset tokenization exploration to commercialization. Project Guardian, launched in 2022, convened over 40 financial institutions, industry associations and international policymakers across seven jurisdictions to carry out industry trials on the use of asset tokenization in capital markets. More than 15 industry trials were conducted in six currencies across multiple financial products. In order to achieve scale the MAS is creating the Guardian Wholesale Network Industry Group with the aim of forming commercial networks to deepen market liquidity, developing an ecosystem of market infrastructures, fostering industry frameworks, and enabling access to common settlement facility. [Read more at the MAS]

Security reference model for digital currency hardware wallet (ISO)

The International Organization for Standardization (ISO) announced that a security reference model for digital currency hardware wallets and requirements and recommendations regarding the security of digital currency hardware wallets has now advanced to the internal review phase. It includes security requirements for data management, communication, and access control requirements between different modules of the hardware wallets; security requirements for the running environment of the software operating in the hardware wallet; and security policies for service operation of the hardware wallet. The non-security aspects of digital currency hardware wallets, such as business processes and financial transactions are out of scope. [Unfortunately the draft isn’t available for download]

Refining the definition of the unbanked (SSRN)

A paper co-written by Federal Reserve Board (FRB) staffer Elena Falcettoni proposes to differentiate individuals without a bank account but would like to have one (the “unbanked”) from individuals that do not have a bank account and are not interested in having one (the “out of banking population”). While the unbanked mostly cite financial and past credit or banking history problems as reasons for not having a bank account, the out of banking population cites a growing mistrust toward the traditional banking system. The paper finds that the latter comprises over 70% of U.S. households without a bank account, and concludes that to bank the unbanked (the other 30%) policy interventions should be aimed at encouraging financial institutions to offer more accessible and affordable services. [Read more at SSRN]

Sponsored Content:

Supercharge your CBDC research and deployment strategy with Chavanette’s Alpha Knowledge Platform (⍺LP)—the ultimate resource for deep insights into CBDCs and the ecosystem of CBDC technology providers and solutions. Get insider access to the top 20 CBDC platforms through the GALACTIC GRID, dissected by Chavanette’s expert framework. Lead the digital central banking revolution with the tools necessary to deploy Central Banking 4.0—stay informed, stay bold, stay transformative. Be the leader. Register for access here and get a 10% discount on the first year with the kiffmeister10 code.

Upcoming Speaking Engagements:

  • Digital Euro Conference 2025, Frankfurt, March 27, 2025. The DEC25 conference will explore the future of money with a focus on CBDCs, stablecoins, tokenized deposits, and the intersection of AI and digital ID. When you register, get 20% off the regular ticket price by using the Kiffmeister20 code! [Find out more and register here]

And 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 john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20240723)

~ kiffmeister

Peru awards contract for first retail CBDC pilot (Ledger Insights)

Banco Central de Reserva del Perú (BCRP) has awarded its first contract for the development of its retail central bank digital currency (CBDC) pilot. The winner is telecom firm Viettel Perú. The contract will run for one year, which may be extended for up to one additional year at the justified request of Viettel Peru. No further details have been made available. [Read more at the BCRP]

Emerging markets face regulatory challenges from stablecoin circulation (FSB)

The Financial Stability Board (FSB) published a report that explores potential factors driving the higher level of activities related to foreign currency-pegged stablecoins in emerging market and developing economies (EMDEs), the associated financial stability risks and regulatory challenges, and provides considerations to address them. EMDEs may be exposed to macro-financial risks arising from the use of foreign currency pegged global stablecoins, which can increase financial stability risks by destabilizing financial flows and straining fiscal resources. [Read more at the FSB]

Spot Ether ETFs can start trading after the SEC’s final approval (Finance Magnates)

The U.S. Securities and Exchange Commission (SEC) has provided final approval to spot Ethereum (ETH) exchange-traded funds (ETFs) following the listing of these instruments on three American exchanges on July 23, 2024. The approved issuers include BlackRock, Fidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, and Invesco Galaxy, all of whom also offer Bitcoin ETFs that were greenlighted by the SEC at the beginning of 2024. All spot ETH ETFs, except Grayscale, kept the base fee between 0.15% and 0.25%, but Fidelity, 21Shares, Bitwise, Franklin, and VanEck will waive all fees until a set period or a determined amount in net assets is achieved. Grayscale is charging 2.50%. [Read more at Finance Magnates]

Brazil delays launch of recurring Pix payments (Banco Central do Brasil)

Banco Central do Brasil (BCB) has pushed back the addition of recurring payments to its Pix instant payment platform from October 2024 until June 2025. Automatic Pix will facilitate recurring charges that let users authorize periodic debits automatically, without the need for authentication for each transaction. The BCB also published amended Pix regulations that limit transactions on access devices that are unregistered or that have never been used to initiate a Pix transaction to R$200 and R$1,000 per day. The amendments will become effective on November 1, 2024. [Read more at the BCB]

LIFT Lab resumes innovation projects for Brazil’s national financial system (BCB)

The Laboratório de Inovações Financeiras e Tecnológicas (LIFT), a joint initiative of the BCB and Federação Nacional de Associações dos Servidores do Banco Central (Fenasbac), will resume activities following a hiatus in 2023. Since its inception in 2018, the laboratory has been at the forefront of innovation within the Brazilian national financial system, focusing on developing technological prototypes. The 2023/2024 edition will feature seven projects to enhance the financial innovation ecosystem. The 2023/2024 edition will include seven projects, including technological solutions for anti-money laundering and compliance, B2B interoperability solutions between incompatible blockchain networks, and scores for Pix payments to identify fake accounts. [Read more at the BCB]

Global Payments Report 2024 (WorldPay)

WorldPay published the 2024 edition of its Global Payment Report. It reports that the ubiquitous acceptance of digital wallets is enabling greater consumer choice and control in this era of payments innovation. According to the findings, digital wallets accounted for $13.9 trillion in global transaction value in 2023, representing half of all online and 30% of consumer spend at point-of-sale (POS). In markets where credit and debit cards already had strong consumer attachment, the data suggests consumers remain loyal to these cards, choosing to connect them to their digital wallets. Although cash usage continues to decline, cash accounted for 16% of global transaction value, including double-digit share in 30 of 40 markets in this report. [Read more at WorldPay]

Upcoming Speaking Engagements:

  • CBDC Conference, Istanbul, September 10-12. The conference will offer representatives of central banks, commercial banks, technology providers, policy makers and academics the perfect platform to learn about the latest CBDC developments, exchange ideas with experts and peers. [Find out more and register here][Central bank delegates may be eligible for free registration (email registration@cbdc-conference.com to find out more)]
  • Digital Currency Conference, London, September 23-24. The conference will bring together policymakers, regulators, and technology and innovation experts to network and discuss all aspects of digital currencies. And enter the KiffmeisterDCC code at registration to get a 20% discount! [Find out more and register here]

And 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 john@kiffmeister.com.

Kiffmeister’s #Fintech Daily Digest (20240722)

~ kiffmeister

G+D launches self hosted digital asset wallet that’s recoverable (Ledger Insights)

Giesecke+Devrient (G+D) unveiled its Convego TruSafe self hosted digital asset wallet solution, which it aims to distribute via banks. It combines a mobile wallet app with a smart card that looks like a debit card and acts as cold wallet storage. If someone loses the card, it’s recoverable by splitting your private key into pieces or shards. One is held on the card, one by your bank and one by G+D. If the card is lost, a new one can be ordered and authenticated and activated through the mobile app, and access to the digital assets on the lost card regained. A wallet holder must use biometrics to request a new card, which recreates the key behind the scenes. [Read more at G+D]

Upcoming Speaking Engagements:

  • CBDC Conference, Istanbul, September 10-12. The conference will offer representatives of central banks, commercial banks, technology providers, policy makers and academics the perfect platform to learn about the latest CBDC developments, exchange ideas with experts and peers. [Find out more and register here][Central bank delegates may be eligible for free registration (email registration@cbdc-conference.com to find out more)]
  • Digital Currency Conference, London, September 23-24. The conference will bring together policymakers, regulators, and technology and innovation experts to network and discuss all aspects of digital currencies. And enter the KiffmeisterDCC code at registration to get a 20% discount! [Find out more and register here]

And 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 john@kiffmeister.com.