Central bank digital currency

From Wikipedia, the free encyclopedia
Jump to navigation Jump to search

The phrase "central bank digital currency" (CBDC) has been used to refer to various proposals involving digital currency issued by a central bank. A report by the Bank for International Settlements states that, although the term "central bank digital currency" is not well-defined, "it is envisioned by most to be a new form of central bank money [...] that is different from balances in traditional reserve or settlement accounts."[1]

Central bank digital currencies are also called digital fiat currencies[2] or digital base money.[3]

The present concept of CBDCs was directly inspired by Bitcoin, but a CBDC is different from virtual currency and cryptocurrency, which are not issued by a state and lack the legal tender status declared by the government.[1][4][5][6] CBDC implementations will likely not use any sort of distributed ledger such as a blockchain.[7][8]

CBDCs mostly remain in the hypothetical stage, with some proof-of-concept programmes; however, more than 80% of central banks are looking at digital currencies.[9][10] China's digital RMB was the first digital currency to be issued by a major economy.[11][12]

History[edit]

Although central banks have directly released e-money previously – such as Finland's Avant stored value e-money card in the 1990s.[13] In 2000, the I LIKE Q [cs] in Czechia project was launched,[14] enabling the implementation of so-called micropayments on the Internet. For payments, users used the virtual currency Q, the fair value of which is tied to a fixed exchange rate against the Czech koruna in the ratio of 100 Q = CZK 1. The two currencies are fully convertible. The author of the project was Pepe Rafaj [cs]. Project I LIKE Q [cs] was terminated in 2003 due to an amendment to Czech law, which at that time did not provide for this form of payment. In 2021 the same group introduced project Corrency [cs] which is a type of digital currency enriched with smart contracts aka drone money.

The present concept of "central bank digital currency" may have been partially inspired by Bitcoin and similar blockchain-based cryptocurrencies. It is also a known concept in the field of economics, whereby the central bank enables citizens to hold accounts with it, providing a reliable and safe public savings or payments medium ("retail" or "general-purpose" CBDC).

The Bank for International Settlements (BIS) published a report in December 2020 listing the known CBDC wholesale and retail projects at that time.[15] By April 2021, there would be "at least 80 central banks around the world that are looking at digital currencies."[9]

Another 2020 BIS survey found that 86% of central banks were examining the advantages and disadvantages of launching CBDCs,[16] although only 14% were in advanced stages of development (such as pilots).[17]

Bahamas[edit]

On 20 October 2020, the Central Bank of the Bahamas introduced the "Sand Dollar" as a digital legal currency equivalent to the traditional Bahamian dollar.[18][19][20]

Brazil[edit]

In 2020, the Central Bank of Brazil announced plans for a digital currency by 2022, although these plans were pushed back by two or three years in 2021.[17]

China[edit]

Since 2014, China's central bank has been working on a project called DCEP (Digital Currency Electronic Payment).[7] The DCEP is often referred to as the "digital yuan" as it would be backed by the yuan.[21]

At the end of 2017, the People's Bank of China organized a number of banks and institutions to jointly develop Digital Currency Electronic Payment (DCEP) system.

In April 2020, Digital Currency Electronic Payment began to be tested in 4 Chinese big cities, including Shenzhen, Suzhou, Xiong'an, and Chengdu.[22]

After the successful CBDC pilot, Suzhou City Municipal has signed on a Memorandum of understanding (MoU) with the New York-based third-generation blockchain startup, Cypherium. The company will help the city in the development of products within the city's ecosystem.[23][24][25][26][27]

It is aimed to have the currency in use in time for the 2022 Winter Olympics.[21]

Ecuador[edit]

One of the earliest examples of retail CBDC was in Ecuador from 2014 to 2018, when the central bank created a broadly accessible pilot retail CBDC that operated through citizens' mobile phones (it did not employ blockchain technology). The program closed in part due to low citizen adoption.[28]

European Union/Eurozone[edit]

In the Eurozone, the Bank of Spain's former governor Miguel Angel Fernandez Ordoñez has called for the introduction of a digital euro, but the European Central Bank (ECB) has so far denied such possibility.[29] Nevertheless, in December 2019, the ECB stated that "The ECB will also continue to assess the costs and benefits of issuing a central bank digital currency (CBDC) that could ensure that the general public will remain able to use central bank money even if the use of physical cash eventually declines".[30] On 2 October 2020 the ECB nonetheless published a report on the proposed digital euro and kickstarted a phase of experiments to consider the merits of minting such a central bank digital currency. Based on this, it will then decide whether to pursue or abandon plans to issue a digital euro toward mid-2021.[31][32][33]

France and Switzerland[edit]

In June 2021, the Swiss National Bank and Bank of France launched a cross-border CBDC payments trial designed for wholesale (bank-to-bank, rather than with regular consumers) transactions. Switzerland had previously tested a digital Swiss franc for instant transactions on SIX Swiss Exchange, its premier stock exchange.[17]

India[edit]

In 2017, a high level inter-ministerial committee (IMC) was formed under Department of Economic Affairs under Ministry of Finance (MoF) on governance and usage of virtual currencies in India and recommended digital form of fiat currency using Distributed Ledger Technology (DLT). Department of Financial Services of MoF, Ministry of Electronics and Information Technology (MeitY) and Reserve Bank of India (RBI) were invited to form a special group that will look into legal and technological development of CBDC.[34] Without any official recognization to cryptocurrencies, RBI started planning on future CBDC development.[35]

The RBI on 16 December 2020 announced a regulatory sandbox to test next generation technologies on cross border payments to collect field test data and evidence of benefits and risks on the financial ecosystem.[36] On 29 January 2021, Union Government of India proposed a bill to ban trading and investments in cryptocurrencies while giving legal power to RBI for developing CBDC, termed as "programmable digital rupee" using the experience gained from handling Unified Payments Interface (UPI), Immediate Payment Service (IMPS) and Real-time gross settlement (RTGS) for distribution and validation purpose.[37][38]

As per Currency and Finance Report 2021 released by RBI, CBDC backed by the sovereign must promote non-anonymity of monetary transactions and financial inclusion by direct transfers. It must compliant with national and global anti-money laundering and financial-terrorism laws.[39] From December 2021, RBI will start initial trial of digital currency and on later stage open it for nationwide use in a phased manner.[40] As per Governor Shaktikanta Das, RBI is still discussing whether to go with a centralized system or use Distributed Ledger Technology.[41] While the preliminary study will be conducted soon, RBI started internal evaluation on scope, legal framework, calibration, technology, distribution and validation mechanism of CBDC citing increase in digital transaction during the COVID-19 pandemic.[42][43][44]

The Government of India is working on amendments for The Coinage Act, 2011,[45] Foreign Exchange Management Act (FEMA), 1999, Information Technology Act, 2000 and Crypto-currency and Regulation of Official Digital Currency Bill, 2021 that will govern CBDC in the country.[46][47]

The Department of Financial Services, Ministry of Health and Family Welfare and National Health Authority introduced e-RUPI on 2 August 2021 which is a prepaid person specific, purpose specific e-voucher based on QR code or SMS string that doesn't require bank account to make it leak proof. It is going to act as a precursor by highlighting the gaps in national digital payment infrastructure that needs further improvement before the nationwide launch of CBDC.[48][49]

Iran[edit]

2016-2018 interest in CBDCs in Iran was alleged by American analysts to be for the purposes of evading American sanctions.[17]

Nigeria[edit]

In May 2021, the Central Bank of Nigeria announced that Nigeria will soon create its digital currency.[50] The Central Bank of Nigeria further said in July 2021 that it will launch the pilot scheme of its digital currency on October 1st, 2021.[51] Following these announcements, the Central Bank of Nigeria named Bitt Inc. in August 2021 as its technical partner for Nigeria's digital currency that would be known as eNaira.[52]

Norway[edit]

In April 2021, after four years of research, Norway's Norges Bank announced plans to start testing technical solutions for a CBDC over the following two years.[17]

Russia[edit]

2016-2018 interest in CBDCs in Russia was alleged by American analysts to be for the purposes of evading American sanctions. In October 2020, the Central Bank of Russia published a consultation paper on a digital ruble. It aims to have a prototype ready by the end of 2021 and start pilots and trials in 2022.[17]

Sweden[edit]

The central bank of Sweden proposed an "e-krona" in November 2016,[13] and started testing an e-krona proof of concept in 2020.[53][54][55] The 2020 phase focused on internal simulations within Sweden's central bank; the 2021 second phase is to include transactions with outside entities, such as commercial banks.[17]

Turkey[edit]

In January 2021, the Central Bank of Turkey announced a planned digital currency trial in the second half of 2021.[17]

Ukraine[edit]

In December 2018, the National Bank of Ukraine piloted a digital currency, the e-hryvnia, with about 5,500 tokens. It is considering how to technically advance a nationwide launch.[17]

United Kingdom[edit]

The Bank of England discussed a blockchain-based central bank currency in a September 2015 speech by chief economist Andrew G. Haldane, on possible ways to implement negative interest rates.[56] A March 2016 speech by Ben Broadbent, the bank's deputy governor of monetary policy, appears to be the first use of the phrase "central bank digital currency", and notes direct inspiration by Bitcoin.[57][58] In April 2021, the Bank of England and HM Treasury announced a joint CBDC Taskforce to examine the possibility of a CBDC in the UK.[17]

United States[edit]

In May 2021, Federal Reserve Chair Jerome Powell announced plans to publish a discussion paper on central bank digital currency, focusing on the possibility of issuing a US CBDC. Powell believed that a potential CBDC would complement the use of cash and bank deposits rather than replacing them.[59]

Also in May 2021, the Digital Dollar Project, which is not affiliated with the United States government, planned to launch five pilot programmes, testing the potential use of a central bank digital currency in the United States of America.[60]

Uruguay[edit]

In November 2017, the central bank of Uruguay announced to begin a test to issue digital Uruguayan pesos.[61][62]

Venezuela[edit]

2016-2018 interest in CBDCs in Venezuela was alleged by American analysts to be for the purposes of evading American sanctions. To this end, Venezuela launched the blockchain-backed CBDC petro in 2018, although this project failed. Venezuela launched a digital currency—the petro—in 2018, which is purportedly backed by oil, natural gas, and mineral reserves and administered using blockchain technology. The petro has not been adopted for general use and may not truly function as a currency.[17]

Implementation[edit]

A central bank digital currency would likely be implemented using a database run by the central bank, government, or approved private-sector entities.[7][8] The database would keep a record (with appropriate privacy and cryptographic protections) of the amount of money held by every entity, such as people and corporations.

In contrast to cryptocurrencies, a central bank digital currency would be centrally controlled (even if it was on a distributed database), and so a blockchain or other distributed ledger would likely not be required or useful - even as they were the original inspiration for the concept.[7][8]

Researchers propose multiple ways that a retail CBDC could be technologically implemented.[63]

Characteristics[edit]

CBDC is a high-security digital instrument; like paper bank notes, it is a means of payment, a unit of account, and a store of value.[64] And like paper currency, each unit is uniquely identifiable to prevent counterfeit.[65]

Digital fiat currency is part of the base money supply,[66] together with other forms of the currency. As such, DFC is a liability of the central bank just as physical currency is.[67] It is a digital bearer instrument that can be stored, transferred and transmitted by all kinds of digital payment systems and services. The validity of the digital fiat currency is independent of the digital payment systems storing and transferring the digital fiat currency.[68]

Proposals for CBDC implementation often involve the provision of universal bank accounts at the central banks for all citizens.[69][70]

Benefits and impacts[edit]

Digital fiat currency is currently being studied and tested by governments and central banks in order to realize the many positive implications it contributes to financial inclusion, economic growth, technology innovation and increased transaction efficiencies.[71][72] Here is a list of potential advantages:

  • Technological efficiency: instead of relying on intermediaries such as banks and clearing houses, money transfers and payments could be made in real time, directly from the payer to the payee. Being real time has a couple of major advantages:
    • Reduces risk: payment for goods and services often needs to be done in a timely manner and when payment verification is slow, merchants usually accept the risk of some payments not succeeding in exchange for faster service to customers. When these risks are eliminated with instant payment verifications, merchants no longer need to use intermediaries to handle the risk or to absorb the risk cost themselves.
    • Reduces complexity: merchants will not need to separately keep track of transactions that are slow (where the customer claims to have paid but the money has not arrived yet), therefore eliminate the waiting queue, which could simplify the transaction process from payment to rendition of goods/services.
    • Reduces (or eliminates) transaction fees: current payment systems like Visa, Mastercard, American Express etc. have a fee attached to each transaction and lowering or eliminating these fees could lead to widespread price drops and increased adoption of digital payments.
  • Financial inclusion: safe money accounts at the central banks could constitute a strong instrument of financial inclusion, allowing any legal resident or citizen to be provided with a free or low-cost basic bank account.
  • Preventing illicit activity: A CBDC makes it feasible for a central bank to keep track of the exact location of every unit of the currency (assuming the more probable centralized, database form); tracking can be extended to cash by requiring that the banknote serial numbers used in each transaction be reported to the central bank. This tracking has a couple of major advantages:[73]
    • Tax collection: It makes tax avoidance and tax evasion much more difficult, since it would become impossible to use methods such as offshore banking and unreported employment to hide financial activity from the central bank or government.
    • Combating crime: It makes it much easier to spot criminal activity (by observing financial activity), and thus put an end to it.[73] Furthermore, in cases where criminal activity has already occurred, tracking makes it much harder to successfully launder money, and it would often be straightforward to instantly reverse a transaction and return money to the victim of the crime.
  • Proof of transaction: a digital record exists to prove that money changed hands between two parties which avoids problems inherent to cash such as short-changing, cash theft and conflicting testimonies.
  • Protection of money as a public utility: digital currencies issued by central banks would provide a modern alternative to physical cash – whose abolition is currently being envisaged.[74]
  • Safety of payments systems: A secure and standard interoperable digital payment instrument issued and governed by a Central Bank and used as the national digital payment instruments boosts confidence in privately controlled money systems and increases trust in the entire national payment system[75][76] while also boosting competition in payment systems.
  • Preservation of seigniorage income: public digital currency issuance would avoid a predictable reduction of seigniorage income for governments in the event of a disappearance of physical cash.[77]
  • Banking competition: the provision of free bank accounts at the central bank offering complete safety of money deposits could strengthen competition between banks to attract bank deposits, for example by offering once again remunerated sight deposits.
  • Monetary policy transmission: the issuance of central bank base money through transfers to the public could constitute a new channel for monetary policy transmission[78][79][80] (i.e. helicopter money[81]), which would allow more direct control of the money supply than indirect tools such as quantitative easing and interest rates, and possibly lead the way towards a full reserve banking system.[82] In digital Yuan trial in Shenzhen, the CBDC was programmed with an expiration date, which encouraged spending and discouraged money from sitting in a saving account. In the end, 90% of vouchers were spent in shops.[83]
  • Financial safety: CBDC would limit the practice of fractional reserve banking and potentially render deposit guarantee schemes less needed.[84]

Risks[edit]

Despite having potential advantages, there are also risks associated with central bank digital currencies.

  • Banking system disintermediation: With the ability to provide digital currency directly to its citizen, one concern is that depositors would shift out of the banking system. For example, commercial banks practice fractional reserve banking while CBDCs are fully reserved. Customers may deem the safety and liquidity of CBDCs to be more attractive,[85] weakening the balance sheet position of commercial banks.[86] On the extreme, this could precipitate potential bank runs[87] and thus make banks' funding position weaker. However, the Bank of England found that if the introduction of CBDC follows a set of core principles the risk of a system-wide run from bank deposits to CBDC is addressed.[88] A central bank could also limit the demand of CBDCs by setting a ceiling on the amount of holdings.[85]
  • Centralization: Since most central bank digital currencies are centralized, rather than decentralized like most cryptocurrencies, the controllers of the issuance of CBDC can add or remove money from anyone's account with a flip of a switch. In contrast, cryptocurrencies with a distributed ledger such as Bitcoin prevent this unless a group of users controlling more than 50% of mining power is in agreement.[89]
  • Digital dollarization: A well-run foreign digital currency could become replacement for a local currency for the same reasons behind dollarization.[90] The announcement of Facebook's Libra contributed to the increased attention to CBDCs by central bankers,[91] as well as China's progress with DCEP to that of several Asian economies.[85]

References[edit]

  1. ^ a b Bech, Morten; Garratt, Rodney. "Central Bank Cryptocurrencies" (PDF). BIS. Retrieved August 25, 2020.
  2. ^ "Focus Group on Digital Currency including Digital Fiat Currency". ITU. Retrieved December 3, 2017.
  3. ^ Mersch, Yves (January 16, 2017). Digital Base Money: an assessment from the ECB’s perspective (Speech). Farewell ceremony for Pentti Hakkarainen, Deputy Governor of Suomen Pankki – Finlands Bank. Helsinki: European Central Bank. Retrieved June 19, 2021.
  4. ^ Silva, Matthew De. "What China could gain from a digital yuan". Quartz. Retrieved September 28, 2019.
  5. ^ "Speech by Jen Weidmann at the Bundesbank Policy Symposium "Frontiers in Central Banking – Past, Present and Future"". www.bundesbank.de. Retrieved November 9, 2017.
  6. ^ "Financial innovation and monetary policy: Challenges and prospects" (PDF). European Parliament. 2017.
  7. ^ a b c d Yang, Yuan; Lockett, Hudson. "What is China's digital currency plan?". www.ft.com. Financial Times.
  8. ^ a b c "Analytical Report on the E-Hryvnia Pilot Project" (PDF). National Bank of Ukraine.
  9. ^ a b Christine Lagarde [@lagarde] (April 16, 2021). "Our work on a possible #digitaleuro continues" (Tweet) – via Twitter.
  10. ^ "Will central-bank digital currencies break the banking system?". The Economist. December 5, 2020. ISSN 0013-0613. Retrieved December 7, 2020.
  11. ^ Areddy, James T. (April 5, 2021). "China Creates its Own Digital Currency, a First for Major Economy". Wall Street Journal. ISSN 0099-9660. Retrieved April 6, 2021.
  12. ^ Popper, Nathaniel; Li, Cao (March 1, 2021). "China Charges Ahead With a National Digital Currency". The New York Times. ISSN 0362-4331. Retrieved April 6, 2021.
  13. ^ a b Aleksi Grym, P. Heikkinen, K. Kauko, K. Takala (2017). "Central bank digital currency" (PDF). Semantic Scholar. Archived from the original (PDF) on February 25, 2020.CS1 maint: uses authors parameter (link)
  14. ^ https://www.root.cz/clanky/i-like-q/
  15. ^ Auer, Raphael; Cornelli, Giulio; Frost, Jon (August 24, 2020). "Rise of the central bank digital currencies: drivers, approaches and technologies". BIS Working Papers. Bank of International Settlements (880). Retrieved June 19, 2021.
  16. ^ Boar, Codruta; Wehrli, Andreas (2021), BIS Papers No 114 Ready, steady, go? – Results of the third BIS survey on central bank digital currency (PDF), Bank for International Settlements, p. 3, retrieved July 22, 2021
  17. ^ a b c d e f g h i j k Marc Labonte; Rebecca M. Nelson (July 21, 2021). Central Bank Digital Currencies: Policy Issues (Report). Congressional Research Service. Retrieved July 22, 2021.
  18. ^ "Sand Dollar". Retrieved January 28, 2021.
  19. ^ "Public Update on the Bahamas Digital Currency Rollout". Central Bank of the Bahamas. December 31, 2020. Retrieved January 28, 2021.
  20. ^ Alex; Zaitchik, er; Kim, Jeanhee; Le, Kelly; EDT, Angie Lau On 6/29/21 at 5:00 AM (June 29, 2021). "China's digital yuan, launching in 2022, poses threat to global dominance of U.S. dollar". Newsweek. Retrieved June 30, 2021.
  21. ^ a b Pladson, Kristie (May 10, 2020). "China leads in race for digital currency". Deutsche Welle. Archived from the original on June 16, 2021. Retrieved June 19, 2021.
  22. ^ "央行:数字人民币正在四地内测". Xinhua Net (in Chinese). Archived from the original on August 19, 2020. Retrieved August 18, 2020.
  23. ^ Zhou, Cissy (December 6, 2020). "Chinese city to hand out 20 million yuan in latest digital yuan trial". South China Morning Post. Retrieved December 18, 2020.
  24. ^ Clarke, Gina (August 7, 2020). "How Suzhou is Taking Steps to Become China's Leading Blockchain District". The Fintech Times. Archived from the original on May 16, 2021. Retrieved June 19, 2021.
  25. ^ CBNEditor (August 3, 2020). "Cypherium Signs MOU with Suzhou for Blockchain Infrastructure Development Following Launch of Chinese CBDC Trials". China Banking News. Retrieved December 18, 2020.
  26. ^ "China's Digital Yuan Status: Tracking its Roll-Out, Impact for Businesses". China Briefing News. December 7, 2020. Retrieved December 18, 2020.
  27. ^ Kharpal, Arjun (December 7, 2020). "China hands out $3 million of digital yuan as JD.com becomes first online platform to accept it". CNBC. Retrieved December 18, 2020.
  28. ^ White, Lawrence H. "The World's First Central Bank Electronic Money Has Come – And Gone: Ecuador, 2014–2018". Cato Institute. Archived from the original on February 5, 2021. Retrieved June 19, 2021.
  29. ^ "ECB rejects implementation of "digital euro" for wrong reasons". Positive Money Europe. September 28, 2018. Retrieved September 28, 2018.
  30. ^ "Innovation and its impact on the European retail payment landscape" (PDF). European Central Bank. December 2019.
  31. ^ Report on a digital euro (PDF) (Report). European Central Bank. October 2020. Retrieved June 19, 2021.
  32. ^ Smith-Meyer, Bjarke (October 2, 2020). "European Central Bank eyes digital euro, begins online experiments". POLITICO. Archived from the original on March 1, 2021. Retrieved June 19, 2021.
  33. ^ Panetta, Fabio (October 2, 2020). "We must be prepared to issue a digital euro". The ECB Blog. European Central Bank. Archived from the original on January 23, 2021. Retrieved June 19, 2021.
  34. ^ "Report of the Committee to propose specific actions to be taken in relation to Virtual Currencies" (PDF). Ministry of Finance. Government of India. Retrieved August 12, 2021.
  35. ^ Pandit, Shivanand (August 11, 2021). "Rupee reboot". Law.asia. Retrieved August 12, 2021.
  36. ^ "Regulatory Sandbox: RBI seeks applications under second cohort". Business Standard India. December 16, 2020. Retrieved August 7, 2021.
  37. ^ "Lok Sabha: General Information relating to Parliamentary and other matters" (PDF). Parliament of India. January 29, 2021. Retrieved August 7, 2021.
  38. ^ "BIS Innovation Hub and Monetary Authority of Singapore publish proposal for enhancing global real-time retail payments network connectivity". July 28, 2021. Cite journal requires |journal= (help)
  39. ^ Nag, Anirban (July 22, 2021). "India Eyeing Phased Roll Out of Central Bank Digital Currency". Bloomberg. Retrieved August 8, 2021.
  40. ^ "Will India soon have its own Central Bank Digital Currency?". The Times of India. September 6, 2021. Retrieved September 6, 2021.
  41. ^ Choudhury, Saheli Roy (August 27, 2021). "India could begin trials for a digital rupee by December, central bank governor says". CNBC. Retrieved August 28, 2021.
  42. ^ Panda, Subrata (August 6, 2021). "RBI's model on India's digital currency could come out by 2021-end". Business Standard India. Retrieved August 7, 2021.
  43. ^ Kaul, Abhinav (July 24, 2021). "RBI to launch CBDCs: What does it mean for the future of cryptocurrencies?". Mint. Retrieved August 7, 2021.
  44. ^ Kajarekar, Radhika (July 30, 2021). "Digital Payments Rise By 30% In India Due To Lockdowns, Pandemic: Indians Using Less Cash Now?". Trak.in. Retrieved August 7, 2021.
  45. ^ "THE COINAGE ACT, 2011" (PDF). Reserve Bank of India. September 1, 2011. Retrieved August 7, 2021.
  46. ^ Bhattacharya, Saurya (July 25, 2021). "Cryptocurrency, CBDC and the RBI Act". Business Line. Retrieved August 7, 2021.
  47. ^ Pandit, Shivanand (July 30, 2021). "Coming Soon: The Digital Rupee". India Legal. Retrieved August 7, 2021.
  48. ^ Iyer, Priyanka (August 3, 2021). "Explained | What Is E-RUPI And Does It Lay The Ground For RBI's Digital Currency?". Moneycontrol. Retrieved August 7, 2021.
  49. ^ Mukul, Pranav (August 7, 2021). "e-RUPI: A voucher system ahead of digital currency". The Indian Express. Retrieved August 7, 2021.
  50. ^ Oladeinde Olawoyin (May 26, 2021). "Nigeria will soon create digital currency — CBN". Premium Times. Retrieved September 9, 2021.
  51. ^ Temitayo Jaiyeola (July 22, 2021). "CBN to launch digital currency Oct 1". The Punch. Retrieved September 9, 2021.
  52. ^ "CBN e-Naira: Central Bank of Nigeria ask Bitt Inc for digital currency - How eNaira go be". BBC News Pidgin. August 31, 2021. Retrieved September 9, 2021.
  53. ^ "Sweden's Riksbank eyes digital currency". Financial Times. Retrieved November 9, 2017.
  54. ^ Riksbanken. "The E-krona project – First interim report". www.riksbank.se. Archived from the original on November 1, 2017. Retrieved November 10, 2017.
  55. ^ Riksbank. "The Riksbank to test technical solution for the e-krona". www.riksbank.se. Retrieved February 25, 2020.
  56. ^ Haldane, Andy (September 18, 2015). How low can you go? (Speech). Portadown Chamber of Commerce, Northern Ireland: Bank of England. Retrieved June 19, 2021.
  57. ^ Broadbent, Ben (March 2, 2016). Central banks and digital currencies (Speech). London School of Economics: Bank of England. Retrieved June 19, 2021.
  58. ^ Bjerg, Ole (June 13, 2017). "Designing New Money - The Policy Trilemma of Central Bank Digital Currency". Rochester, NY. SSRN 2985381. Cite journal requires |journal= (help)
  59. ^ Powell, Jerome (May 20, 2021). "Federal Reserve Chair Jerome H. Powell outlines the Federal Reserve's response to technological advances driving rapid change in the global payments landscape" (Press release). Federal Reserve Board of Governors. Retrieved June 18, 2021.
  60. ^ Price, Michelle (May 3, 2021). "Digital Dollar Project to launch five U.S. central bank digital currency pilots". Reuters. Retrieved June 19, 2021.
  61. ^ Uruguayan central bank to test digital currency - Agencia EFE, 20 September 2017
  62. ^ El BCU presentó un plan piloto para la emisión de billetes digitales - Central Bank of Uruguay, 3 November 2017
  63. ^ Auer, Raphael; Boehme, Rainer (March 1, 2020). "The technology of retail central bank digital currency". BIS Quarterly Review. Bank of International Settlements. Retrieved June 19, 2021.
  64. ^ "Should the Riksbank issue e-krona?" (PDF). Sveriges Riksbank.
  65. ^ "Medium Term Recommendations to Strengthen Digital Payments Ecosystem" (PDF). Committee on Digital Payments: Ministry of Finance, Government of India. Archived from the original (PDF) on July 9, 2017. Retrieved July 17, 2017.
  66. ^ Meaning, Jack; Dyson, Ben; Barker, James; Clayton, Emily (May 25, 2018). "Broadening Narrow Money: Monetary Policy with a Central Bank Digital Currency". Bank of England Working Paper. Social Science Research Network (724). doi:10.2139/ssrn.3180720. Retrieved June 19, 2021.
  67. ^ "Central Bank Digital Currencies" (PDF). Bank for International Settlements. Retrieved April 13, 2018.
  68. ^ Tracy, Ryan (December 10, 2015). "Central Bankers Explore Response to Bitcoin: Their Own Digital Cash". Wall Street Journal. Retrieved June 19, 2021.
  69. ^ "Digital Cash: Why central banks should issue digital currency". positivemoney.org. Retrieved November 9, 2017.
  70. ^ "Sovereign Digital Currency". sovereign money. Retrieved November 10, 2017.
  71. ^ World Economic Forum. "Central Bank Digital Currency Policy-Maker Toolkit" (PDF). Retrieved January 3, 2021.
  72. ^ Bordo, Michael; Levin, Andrew (September 23, 2017). "Central bank digital currency and the future of monetary policy". VoxEU.org. Retrieved November 10, 2017.
  73. ^ a b Bindseil, Ulrich (January 2020). "Tiered CBDC and the financial system" (PDF). ECB Working Paper (ECB Working Paper Series No 2351 / January 2020): 6–7. Retrieved February 2, 2020.
  74. ^ Das, Satyajit. "Think Twice About Going Cashless". Bloomberg. Archived from the original on November 11, 2020. Retrieved June 19, 2021.
  75. ^ Nicolaisen, Jon (April 25, 2017). What should the future form of our money be? (Speech). Norwegian Academy of Science and Letters: Norges Bank. Retrieved June 19, 2021.
  76. ^ Riksbanken. "Ingves: Do we need an e-krona?". www.riksbank.se. Retrieved December 13, 2017.
  77. ^ "Central Bank Digital Currency: Motivations and Implications". www.bankofcanada.ca. Retrieved December 3, 2017.
  78. ^ "Central Bank Digital Currency: A Monetary Policy Perspective". Central bank of Malaysia. Archived from the original on July 30, 2020. Retrieved November 9, 2017.
  79. ^ Heller, Daniel (May 15, 2017). The implications of digital currencies for monetary policy (Report). European Parliament Think Tank. Retrieved June 19, 2021.
  80. ^ "Helicopter money is "a real possibility," says Czech central banker". Positive Money Europe. March 15, 2018. Retrieved September 28, 2018.
  81. ^ Hampl, Mojmir; Havranek, Tomas (2019). "Central Bank Equity as an Instrument of Monetary Policy". Comparative Economic Studies. doi:10.1057/s41294-019-00092-1.
  82. ^ Stevens, A (June 2017). "Digital currencies: threats and opportunities for monetary policy | nbb.be". www.nbb.be. National Bank of Belgium. Retrieved November 10, 2017.
  83. ^ Chen, Yawen (November 24, 2020). "China's e-yuan solves one stimulus problem". The Business Times. Reuters. Archived from the original on January 19, 2021. Retrieved June 20, 2021.
  84. ^ Mayer, Thomas (November 6, 2019). "A digital euro to save EMU". VoxEU.org. Retrieved November 10, 2019.
  85. ^ a b c Tilton, Andrew (October 29, 2020). "The what and why of digital currencies" (PDF). Goldman Sachs Research Newsletter. No. 94. Goldman Sachs. Archived (PDF) from the original on March 29, 2021. Retrieved June 18, 2021.
  86. ^ Pfister, Christian (September 2017). "Monetary Policy and Digital Currencies: Much Ado about Nothing?" (PDF). Banque de France Working Paper. Banque de France. Retrieved June 19, 2021.
  87. ^ Smets, Jan (2016). "Fintech and Central Banks" (PDF). National Bank of Belgium.
  88. ^ Kumhof, Michael; Noone, Clare (May 2018). "Central bank digital currencies — design principles and balance sheet implications" (PDF). Bank of England. Retrieved January 10, 2019.
  89. ^ Frankenfield, Jake (May 2019). "51% Attack". Investopedia. Retrieved October 28, 2020.
  90. ^ Carstens, Agustín (January 27, 2021). Digital currencies and the future of the monetary system (PDF) (Speech). Hoover Institution policy seminar. Basel: Bank of International Settlements. Archived (PDF) from the original on April 30, 2021. Retrieved June 19, 2021.
  91. ^ Panetta, Fabio (November 27, 2020). From the payments revolution to the reinvention of money (Speech). Deutsche Bundesbank conference on the “Future of Payments in Europe”. Frankfurt: European Central Bank. Archived from the original on March 6, 2021. Retrieved June 19, 2021.