The Bank of International settlements (in English, Bank for International Settlements, or BIS), has recently published its latest research about the digital currencies from Central Bank (CBDC).

Within this context, found that the countries that are currently working or exploring a CBDC, tend to have a high use of mobile phones. In addition, a strong capacity for innovation.

As is well known, the Bank of International settlements (BIS), was founded in 1930. It is a financial institution global, which promotes international cooperation. It should be noted that represents the central banks of more than 60 countries.

Digital currencies of the Central Bank

First of all, CBDC (Central Bank Digital Currency), is the acronym for digital currencies issued by central banks. Now, a CBDC is a new type of legal currency that it will expand the digital access of the public to the accounts of the central bank.

BIS publishes information

In particular, the report suggests that the majority of governments that are considering the possibility of applying the CBDC, are those with economies digitized and innovative. In addition, the more advanced the economic climate, more smooth will be the transition to the forms of digital payments.

It is important to note that the vast majority of these governments are considering hybrid models. Because of this, would involve systems of payment similar to cash. But with private companies that manage part of customer service.

According to the report, the real implementation of the CBDC, can be complex. Those nations where they can develop quickly, are where the technology awareness current is high. As a result, the emission would have an immediate beneficial impact.

In contrast, those nations that lack technical knowledge or who do not have motivations, immediate, important, surely it will take much more to develop.

The CBDC are necessary

Indisputably, the digital currencies of the Central Bank (CBDC) are receiving more attention than ever. However, the motivations for the issuance, vary from one country to another. As that policy approaches and technical designs.

In this sense, the Bank of International settlements (BIS), mention the different variables, policies and designs, to the various initiatives of digital currency. Focusing its gaze in three approaches, which are the digital currency proposal from China, Sweden and Canada.

Finally, the Bank of International settlements (BIS) concludes:

“We must highlight the value of access to different means of payment. And the need for any payment method, is inclusive and resilient to a wide range of threats.”

Adding: “The central banks will continue to take a long-term vision. Consider carefully the role of the CBDC, on a variety of possible future scenarios”.

I say goodbye not without before giving them this sentence, by Noah Gordon: “The technological advancement has not eliminated the human capacity to make mistakes”.

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Tech Junkie is a small word for Vikas Kaushik. Whether the latest game on the market or a new gadget launch he is the go-to person. He drives his motivation from the fast-paced technological advancements. He ensures that the right news reaches niche audiences. An avid biker and movie buff he has deep-rooted faith in upcoming technological inventions and is a torchbearer for the tech revolution.

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