Bitcoin News and Finance
IMF Working on Platform to Support CBDC Cross-Border Interoperability Skip to main content

IMF Working on Platform to Support CBDC Cross-Border Interoperability

IMF Working on Platform to Support CDBC Cross Border Interoperability

The International Monetary Fund (IMF) is working to develop a platform that would serve as an interoperability layer for central bank digital currencies (CBDCs), allowing for settlements among different countries. According to statements from IMF Managing Director Kristalina Georgieva, this would avoid the underutilization of CBDCs for domestic purposes.

IMF Working on CBDC Cross-Border Integration Platform

The International Monetary Fund (IMF) is building a solution to integrate and support cross-border payments among central bank digital currencies (CBDC). According to IMF Managing Director Kristalina Georgieva, this would prevent underutilization of these currencies, expanding their usage to international markets.

At a conference in Morocco, Georgieva reinforced the need for interoperability. She stated:

CBDCs should not be fragmented national propositions. To have more efficient and fairer transactions we need systems that connect countries: we need interoperability.

Georgieva also remarked on the need for CBDC regulation on a global scale to support this interoperability use case. The failure to reach agreements on this subject would lead to the growth of cryptocurrencies as a substitute for the void created, Georgieva explained.

The official added that 114 central banks were involved in CBDC exploration projects, with ten already arriving at the finish line.

Some CBDC projects are already live. China is already using its CBDC, the e-yuan, to pay salaries in some regions of the country, while the Venezuelan petro, a state-issued digital currency, is facing a liquidation amidst a cryptocurrency corruption probe, according to recent reports.

Also, the European Central Bank (ECB) is in its final phases of deciding on issuing a digital euro that would be focused on providing payment rails to Europeans.

A Case for CBDCs

Georgieva stressed the benefits that the issuance of CBDCs might bring to countries adopting them, stating that if implemented currently, they might “help to increase inclusion” and “strengthen the resilience and efficiency of payment systems.”

The executive also commented that CBDCs could “make cross-border payments and remittances cheaper,” as the cost of transferring money across borders stands at 6.3%, an industry that brings service providers $44 billion annually.

Georgieva, who has advocated for anti-crypto regulation in the past, established differences between cryptocurrency assets and CBDCs, clarifying that, for her, the latter should be backed by assets. Furthermore, she stated that cryptocurrencies backed by assets could be considered investment opportunities, calling unbacked cryptocurrencies “speculative investments.”

What do you think about the IMF’s work on a CBDC interoperability platform? Tell us in the comment section below.

Comments

Post a Comment

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl...
Post a Comment
Read more

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju...
Post a Comment
Read more

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and...
Post a Comment
Read more

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r...
Post a Comment
Read more
Blogarama - Blog Directory