The Governor of the Bank of England (BoE), Andrew Bailey, in an address at the opening ceremony of the Bank for International Settlements that is based in London acknowledged that he was so much happy for the move central banks are making to adopt the innovation of having digital currencies (CBDCs). He noted that such achievement will be one of the greatest since the existence of central banking, and it will lift the banking system to a new phase.
The central bank of Britain has not been left behind in this development, it is currently working to launch its own online money. Someday, credit and cash will be displaced by digital money as a legal tender to pay for goods and services. Although the British government has not made any open conclusion to adopt a CBDC for transactions in the United Kingdom, they are presently weighing the merits and demerits.
Andrew continued by saying that the possibility of stablecoins as a legal tender and the arising recommendation of CBDS has provoked many challenges which the government, central bank, and the general public should evaluate and work on.
Bank of England is not the only bank working on such a project to adopt CBDC. Although England and many other nations are still working towards this project, some countries have already accomplished a lot in the process. China is currently taking the lead to launch a worldwide online money. Since 2014, the digital yuan has been in the pipeline, but not yet fully released. However, it is presently being tested in some places in China.
Not quite long, Shanghai disclosed its plan to deliver about three million dollars in digital yuan through gaming or by-chance method. Likewise, as a way of testing the online currency, Beijing shared two hundred thousand envelopes that contain two hundred digital yuan each.
The Bahamas is also working so hard to implement a CBDC. Based on a broadcast from PwC, in small-scale CBDC development around the world, Caribbean Island is taking the lead. The Bahamian Sand Dollar is more prominent because it is currently being used. About one-fourth percentage of the plans in the Bahamas have attained the execution phase.
In small-scale CBDC development, PwC ranks after Cambodia, while China takes third place. Since 2018, the National Bank of Cambodia started working on its digital currency called Bakong and is presumably the only working project apart from the Bahamas.
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