A group of global central banks is looking into the potential for a central bank digital currency (CBDC).
In Brief:
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This includes the Bank of Canada, Bank of England, Bank of Japan, European Central Bank, Sveriges Riksbank, Swiss National Bank and the Bank for International Settlements.
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It will also coordinate with relevant institutions like the Financial Stability Board.
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Jon Cunliffe, Deputy Governor of the Bank of England, is co-chair.
What does this mean?
Central banks are taking the idea of a digital currency seriously and the group will examine use cases. It will examine aspects such as functional, economic and design choices, cross-border interoperability and knowledge sharing.
