the fact that the use of cash in Sweden is rapidly falling, with more and more people using private and often mobile e-payment means. Central bank cryptocurrencies in its BIS Quarterly Review. This is an ongoing push that iss polarizing the crypto community. This picture is displayed on one of the articles featured on the IMF websites front page. IMFs New Report About Bitcoin was last modified: June 7th, 2018 by Samantha Mitchell.
Central bank digital currency could help counter the monopoly power that strong network externalities can confer on private payment networks. The IMF admitting the obvious about crypto is a seminal moment it shows that the legitimacy of these financial instruments have finally reached a critical mass and their relevance can no longer be ignored by the establishment. Should the state remain an active player in the issuance of money, or maintain a purely regulatory role?
Just a few days ago, Christine Lagarde, who is the current Managing Director of IMF, had so many positive remarks about the virtual assets, particularly Bitcoin. Development in DLT is progressing incredibly rapidly, however, and many major players are taking part. The concept of a digital economy leapfrogging older technology and reaching the unbanked are well documented, especially regarding developing nations. Also Read: Twitch Streamers Can Now Tip With Four Cryptocurrencies. Of course, theres nothing surprising here. The other thing that was detailed on the IMF report was how banks and other financial organizations should tackle competitive pressure and how they should not relent on their efforts of solidifying fiat currencies as valid accounts units. Swedens central bank, the Riksbank, is considering whether the country should introduce a purely digital form of government-backed money, perhaps using distributed ledger technologies (DLTs) similar to the blockchain technology underlying Bitcoin. The IMF paper also details how banks should respond with competitive pressure and they should continue to solidify fiat currencies as a unit of account. Central Bank Coins Allure And The Competitive Pressure. Unlike cash, a digital currency wouldnt be limited in its number of denominations, Dong He wrote. The Riksbank isnt the only central bank to consider issuing its own digital currency. This is as revolutionary as the paper note 300 years ago, Cecilia Skingsley, deputy governor at the Riksbank, told the Financial Times in November 2016.
Bitcoin, Ethereum and Ripple are resilient and are constantly being upgraded to satisfy the requirements of security and convenience.
Head of the International Monetary Fund, Christine Lagarde, said that central banks should consider issuing state-backed digital currency.
The, iMF head IMF head Christine Lagarde stated that central banks should consider issuing state.
The, iMF has published a white paper titled, Monetary Policy in the Digital Age for the June edition of their monthly Finance Development magazine where they give begrudging credit.
Swedens central bank, the Riksbank, is considering whether the country should introduce a purely digital form of government-backed money, perhaps using distributed ledger technologies (DLTs) similar to the blockchain technology underlying.