Blockchain News | The Russian Central Bank Assesses the Potential of CBDC

The Russian central bank has examined the potential benefits and weaknesses of the central bank's digital currency (CBDC). In a document entitled "Is there a future for the digital currency of a central bank," the Russian Central Bank describes several potential CBDCs, including the ability to reduce transaction costs, provide assets that are at risk of being small and more liquid.

The Russian bank also noted that minimizing transaction costs could be realized if the tools for the CBDC offer ease of use in terms of payments and savings, compared to conventional methods.

Besides its superiority, CBDC also has a lack of privacy or anonymity of CBDC as the only potential loss. The Central Bank emphasizes CBDC the same level of anonymity as Fiat money.

Document notes:
"CBDC de facto cannot provide the same level of anonymity as that given in cash. This is, of course, an advantage for regulators but can be considered detrimental to users, not only those involved in suspicious activities but those who care about privacy. "

The RUsia Bank stated that the CBDC was able to design traditional bank deposits in terms of low inflation and moderate rates. according to the bank, CBDC can be equivalent to Fiat in terms of liquidity and ease of use.

CBDC is a cryptocurrency issued by a central bank that has legal tender status and other properties of centralized fiat money.

The World Economic Forum released a report claiming that at least 40 Central Banks in the world planned to experiment with CBDC, and according to the Bank of International Settlements found that 70% of the world's Central Banks were researching CBDC publications.

Source: cointelegaph

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Blockchain News | The Russian Central Bank Assesses the Potential of CBDC Blockchain News | The Russian Central Bank Assesses the Potential of CBDC Reviewed by sheffter on April 23, 2019 Rating: 5


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