Fri, May 7, 2021
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

IBM study finds central banks are embracing concept of digital currencies, smart contracts

Friday, October 26, 2018

Laxman Pai, Opalesque Asia:

The majority of global financial institutions surveyed said that central banks should consider issuing state-backed digital currencies, revealed a joint report by IBM and OMFIF.

The Official Monetary and Financial Institutions Forum (OMFIF) and IBM survey of 21 central banks, which ran from July-September 2018, revealed that 54% of respondents believe central bank digital currencies (CBDCs) can be used to improve the speed, efficiency and resilience of cross-border payments.

Around 69% found significant issues with existing cross-border transaction processes, it said.

A CBDC is a digital form of fiat money, which is a currency established as money by government regulation. CBDCs differ from "digital currencies," which are not issued by the state and lack the regulations of a government.

All respondents are optimistic about the use of smart contracts, since this affords central banks flexibility in payment and settlement processes, such as what form a token would take and who the backer would be, the survey said.

69% of those surveyed stated that system resiliency has become an increasing priority for central banks.

Needed: Unified CBDCs

The report also explains the purpose of unifying CBDCs, as well as the motivations and business use cases for central banks to adopt digital currencies.

It outlines key characteristics of such a system, including: who the developer and issuer should be, the technolog......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. AssetMark launches customized portfolios on the iCapital platform[more]

    Laxman Pai, Opalesque Asia: AssetMark, the turnkey asset management platform, is offering a new portfolio construction service to RIAs via the iCapital Network platform that services $73 billion in global client assets across more than 760 alternative investment funds. The customized alternati

  2. PE/VC: Thoma Bravo's $12.3bn purchase of Proofpoint is the largest private equity cloud deal, Private equity likes sports, but do sports like private equity?[more]

    Thoma Bravo's $12.3bn purchase of Proofpoint is the largest private equity cloud deal From CNBC: Prior to the Proofpoint deal on Monday, the largest cloud acquisition by a private equity firm was the $11 billion purchase of Ultimate Software in 2019. Just last week Thoma Bravo complete

  3. SPACs: Biotech firm Roivant Sciences to go public via $7.3bn SPAC deal, Pearl Energy-backed Streamline Innovations weighs SPAC deal, SPAC crackdown threatens gauzy forecasts that power EV startups[more]

    Biotech firm Roivant Sciences to go public via $7.3bn SPAC deal From Forbes: Seven years ago, Vivek Ramaswamy created Roivant Sciences with the aim of finding a new financial model for drug development. On Monday, Roivant Sciences announced it would be going public by merging with a sp

  4. PE/VC: Why traditional bond managers should pay attention to this Blackstone deal, New WTW group to explore potential for 'beta' PE vehicle, VC firms are scrambling to get into crypto investing, Global investment in Agtech startup companies doubled in 2020 to $5bn[more]

    Why traditional bond managers should pay attention to this Blackstone deal From Institutional Investor: When Tim Kasta, CEO of DCI, first met Blackstone Credit's Dan Smith in the summer of 2019, he pitched Smith on the idea of subadvising investments for the firm's growing insurance bu

  5. SPACs: A SPAC-tacular surge, SPAC hot streak put on ice by regulatory warnings, Jim Cramer recommends buying SPAC-target Grab at lower price levels[more]

    A SPAC-tacular surge From FA Magazine: During a period of extreme volatility and a global pandemic, the initial public offering (IPO) market had a spectacular year in 2020 in terms of the number of new listings and proceeds raised, along with the rise in popularity for Special Purpose