Quick Take ‘Fiat Freeway’ is a weekly column providing the latest updates on central bank digital currencies (CBDCs) and stablecoins. This week’s column examines China’s Digital Currency Electronic Payment (DC/EP) progress in H2 2020. This research piece is available to members of The Block Genesis. You can continue reading this Genesis research on The Block.
Stablecoins “pose serious risks” according to Christine Lagarde, the head of the European Central Bank. Her comments — which touched on the intersection of payments and technology — from November 30 come as the European Union moves closer toward approving the eventual creation of a wholly digital euro. Lagarde previously indicated that a yes-or-no decision […]
Quick Take ‘Fiat Freeway’ is a weekly column providing the latest updates on central bank digital currencies (CBDCs) and stablecoins. This week’s column focuses on stablecoins, which have seen a 304% increase in total supply year-to-date (YTD). Before digging into the latest stablecoin content, we look at other’s definitions of stablecoins and then share our […]
Quick Take Joe Biden is expected to nominate Janet Yellen as the next Secretary of the U.S. Treasury Department. It’s possible a U.S.-centric CBDC will move forward or launch during her tenure. This feature story is available to subscribers of The Block Daily. You can continue reading this Daily feature on The Block.
The Chinese city of Suzhou is reportedly rolling out a wider test for the country’s central bank digital currency in “red packets” starting next month. The Paper, an online media under the state-owned Shanghai United Media Group, said in a report on Monday the trial will take place on December 12, a date that’s known […]
Xi Jinping, the president of China, remarked during a G20 meeting this week that the group should adopt an “open and accommodating attitude” on central bank digital currencies, or CBDCs. His remarks on November 21 are notable, given that China is on the cusp of launching its own digital currency system, dubbed DC/EP. Testing is […]
Bank of England’s chief economist: digital currencies may mitigate the need for negative interest rates
Andy Haldane, the chief economist at the Bank of England, has said digital currencies could mitigate the need for negative interest rates. “At root, the Zero Lower Bound arises from a technological constraint on the ability to pay or receive interest on physical cash, whether positive or negative,” he said. “In principle, a widely-used digital […]
Quick Take ‘Fiat Freeway’ is a weekly column providing the latest updates on central bank digital currencies (CBDCs) and Stablecoins. Pieces thus far have focused on the ECB’s ‘digital euro’ initiative and the Fed’s classification of CBDC literature to date. This week’s column starts with an overview of Norges Bank’s third CBDC report, which considers […]
Sir John Cunliffe, deputy governor of the Bank of England, says it is not the job of central banks to protect banks from the potential fallout of a proliferation in digital currencies. “Our job is not to protect bank business models,” said Cunliffe at an online seminar hosted by Columbia University. Cunliffe said lenders would […]
Central bank digital currencies (CBDCs) will replace cash in the long term, according to Deutsche Bank’s research team. In its latest edition of the “Konzept” periodical, published Tuesday, the bank said the coronavirus pandemic has accelerated the use of digital payments over cash, and the trend will eventually lead to CBDCs taking over cash. However, […]