Categories: Ethereum

More than 40 Central Banks are Mulling the Use of Blockchain Technology

Click here to view original web page at news.ibinex.com

The World Economic Forum on Wednesday published a new report revealing that over 40 Central banks across the globe are either experimenting or considering the use of blockchain technology for a number of purposes including issuing of Central Bank Digital Currencies (CBDCs). The lead author of the report Ashley Lannquist said that many central banks are looking at floating their own digital currencies and this is one of the reasons why the interest of the banks have augmented in the blockchain technology. According to her estimation, around 44 central banks across the world are exploring and experimenting with blockchain with an eye to come up with their own digital currencies in the future. The results of all these experiments are mixed in nature, but some of the experimentation has really yielded positive results, Lannquist added. As of now, these central banks have to go through a lot of policy, regulatory, and technical issues. As far as the trend for the CBDCs is concerned, it is looking quite optimistic with some of the central banks have already made their mind to launch their own digital currency in the future.

For instance, take the National Bank of Cambodia which has announced the incorporation of blockchain technology and the system will become fully operational by the end of 2019. According to the report, the banking system in Cambodia is plagued with two issues: the underbanked population and inefficient banking system. Many residents in the country do not have a bank account, and the overall domestic payments are highly fragmented. Application of the blockchain technology will help the National Bank to address the problem of under banking and high fragmentation, thereby helping the system to provide more efficient settlement services to the country’s residents. The program will start at a large scale level with involvement of more than 10 banks and unlike many others; the country will skip the pilot phase to directly go for mass implementation of the blockchain.

The report quoted another example from France which is already using the Ethereum; making it one of the first countries in the world to effectively implement blockchain and that too by its central bank. For now, most of the central banks are experimenting with blockchain technology without revealing much of the information to avoid undue concerns about regulatory concerns and technicalities.

However, the most important thing according to Lannquist is that central banks should start coming up with the conclusion whether the blockchain technology is useful for them or not. More swift the revelations of these conclusions, better it is for the blockchain technology to grown especially in terms of receiving more research and exploration from associated stakeholders. When Lannquist was asked about the question whether banks will implement CBDCs, she replied that the use of CBDCs wouldn’t be widespread as the current payment system adopted by the central banks is quite efficient, and there is no strong need for them to have CBDCs. That said the digital currencies could be really useful for the residents who regularly send payments overseas.

cinerama

Illuminati, Mason, Anonymous I'll never tell. I can tell you this, global power is shifting and those who have the new intelligence are working to acquire this new force. You matter naught except to yourself, therefore prepare for the least expected and make your place in the new world order.

Disqus Comments Loading...
Share
Published by
cinerama

Recent Posts

Bitcoin Sheds $10,000 Support Again Ahead of Bakkt Launch

Ahead of the launch of Bakkt’s Bitcoin (BTC) futures, bears have continued to assert control over the cryptocurrency market. Ouch.As… Read More

57 mins ago

Bitcoin ‘Messiah’ Goes To War With The ‘Deep State’

One of bitcoin and crypto's oldest proponents, the founder and former chief executive of U.S. online retailer Overstock, Patrick Byrne,… Read More

57 mins ago

The Specs Behind Bitcoin’s Lightning Pass Their First ‘Formal’ Security Test

A pair of researchers have released the results of a formal verification of bitcoin’s lightning network.Lightning is new(ish), experimental, and… Read More

58 mins ago

Deja Vu 2000 Or Flashback 2007? (Part 2)

“The experience in Japan, Europe, or even the US, is that once you get into a near-zero interest-rate regime, it’s… Read More

7 hours ago

Blockchain Industry to Generate $16 Billion Revenue by 2024

Often considered as a nascent technology, blockchain was introduced about a decade ago. Although the technology has not been around… Read More

7 hours ago

Kate Winslet takes action against Bitcoin scammers who used her image

Kate Winslet has spoken out after her image was used to advertise a Bitcoin scam Movie star Kate Winslet is… Read More

7 hours ago

This website uses cookies. We use these cookies to collect data about your interaction with our website for the purpose of continuously improving your experience with our site. For more information we encourage you to read our privacy policy.

Read More