I’ve updated my tabulation of wholesale central bank digital currency (CBDC) explorers. [Read more at Kiffmeister.com]
Kenya central bank says digital currency not a ‘compelling priority’
The Central Bank of Kenya (CBK) does not consider the issuance of a CBDC a “compelling priority in the short to medium term” but it will continue monitoring developments in the area to inform future assessments of the need for CBDC in Kenya . In February 2022, the CBK issued a consultative paper on CBDC and the comments have been compiled into a new discussion paper. It also provides an update on key global CBDC developments since February 2022, concluding that “the allure of CBDCs is fading”. [Read more at the CBK]
Empowering central bank money for a digital future
The Société Universitaire Européenne de Recherches Financières (SUERF) published a paper that suggests that central banks and policymakers start with trigger solutions when considering wholesale CBDC (wCBDC). Trigger solutions connect the distributed ledger technology (DLT) world with conventional settlement systems and enable the settlement of tokenized assets in central bank money. By connecting DLT networks with conventional payment systems, they combine the advantages of decentralized infrastructures with the reliability of the central bank. No new form of (tokenized) money needs to be introduced. The trigger solution can play a neutral role and is agnostic across three dimensions: use cases, payment systems and asset systems. Furthermore, trigger solutions are characterized by comparatively low technical and operational complexity, and are a convenient way to test the case for wCBDC and observe market adaptation. [Read more at SUERF]
*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.
Upcoming conferences, webinars and speaking engagements:
- I’ll be participating in Currency Research’s in-person Central Bank Payments Conference and Global Payments Summit in Cape Town from June 26 to 30. [Register here and here respectively]
- I’ll be lecturing at the Digital Euro Association (DEA) Digital Money Academy on July 27, 2023. [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 firstname.lastname@example.org.
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 (email@example.com).
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]