A French central banker, Denis Beau, first deputy governor at Banque de France, has touted central bank digital currencies as the “foundation of a new international monetary system.” David Attlee reports for Cointelegraph:
Representatives of Banque de France, the French central bank, have embraced the global perspective on the central bank digital currency (CBDC) discussion, touting it as the foundation of a new international monetary system.
On Oct.3, Denis Beau, the first deputy governor at Banque de France, called the CBDC “the catalyst for improving cross-border payments by enabling the build-up of a new international monetary system.” The official emphasizes the necessity of considering cross-border issue around CBDCs from the outset and not as an afterthought.
Beau sees several paths for developing a CBDC. The first is the development of common standards and interoperability between wholesale CBDCs and legacy systems. The second — promoted by the International Monetary Fund (IMF) and the Bank for International Settlements (BIS) — is the development of regional or global CBDC platforms. Wholesale CBDCs could be standardized to be exchanged directly on these platforms and perform payment versus payment and delivery versus payment transactions.
Beau cited the example of Project Mariana, which explored the possibilities of an automated market maker (AMM). The project, involving the Banque de France, the Monetary Authority of Singapore and the Swiss National Bank, successfully concluded in late September.
The official talked not only about the CBDCs but also about the tokenization of finance. He expressed his belief that the public sector must support the private sector more to enable the full potential of blockchain while limiting the risks. In his opinion, tokenized “central bank money availability” and tokenized assets are allies rather than competitors.
Action Line: If you aren’t already familiar with the dangers of central bank digital currencies, read more about them below. Click here to subscribe to my free monthly Survive & Thrive letter.
- The Dangers of a Federal Reserve Digital Currency
- Is the Fed about to Launch a Financial “Death Star?”
- Do You Know the Worst Part about a CBDC?
- The Threat of a Cashless Society
- Why Does Bill Gates Want to Digitize Your Money and ID?
- Banks Coordinating Major Digital Dollar Test with NY Fed
- Digital Currency Risks: Sweden Considers Cashless Society
E.J. Smith - Your Survival Guy
Latest posts by E.J. Smith - Your Survival Guy (see all)
- Wellesley Fund: “Balanced Investing Is Dead” (Please Stop) - December 8, 2023
- Do You Have a Plan to Protect Your Personal Data? - December 8, 2023
- DIRTY JOBS: America Needs Mining Engineers - December 8, 2023
- Investing Habits of the Fairly Wealthy: #2 Coach - December 7, 2023
- Have All of New Jersey’s Workers Already Moved to Florida? - December 7, 2023