Clifford Chance’s Post

There is consensus that promoting competition and innovation is a foundational principle in regulating Central Bank Digital Currencies. In this piece, authors argue that R. Jesse McWaters, Joy Wann, Christoph Baert (Mastercard) Andrea De Matteis & Pierluigi Cuccuru (De Matteis Law) Policymakers should uphold their commitment to a free-market economy and ensure that geopolitical goals do not create barriers to competition and investment. #techREG #competition #innovation #regulation #freemarket #geopolitics #investment #centralbanks #digitaleconomy #competitionlaw #crypto #cbdc

⚡️ **IMF: Central Bank Digital Currencies (CBDCs) to Simplify Cross-Border Payments!** IMF experts say CBDCs could make international transactions smoother, especially for oil-exporting nations. According to their report, two-thirds of countries in the Middle East and Central Asia are exploring the potential of national digital currencies. 🌍💸 Who’s ready for a future where sending money abroad is as easy as texting? 📲💰 #FinTech #GlobalFinance

BIS general manager Augustin Carstens has called on countries to modernise their existing legal frameworks in a way that ensures legitimacy, privacy, integrity, and choice for central bank digital currencies. He is spot on with his request. I have argued for a number of years that to improve Global Financial Stability needs a coordinated plan against a new model, not a domestic rehash of what we already have. Through coordinated regulatory action using modern and robust global infrastructure, that incidentally is already built, the global movement of money between commercial and central banks can be streamlined. The result would significantly improve every economy on the planet and, in my mind is a very worthy prize. RTGS.global International Monetary Fund The World Bank

📚 Navigating Negative Interest Rates: The Role of CBDCs in Reshaping Monetary Policy. The prospect of central bank digital currencies (#CBDCs) emerges as a transformative force capable of reshaping our understanding of monetary policy and its instruments. The recent study, "Assessing the Effective Lower Bound in the Context of Introducing the Digital Euro," by authors Michael Pirgmann and Petr Wawrosz, investigates the implications of introducing CBDCs, particularly in the context of negative interest rate policies (#NIRPs) and their effect on the effective lower bound (#ELB). Check it out! https://lnkd.in/dyyri5h4

Central bank digital currencies (CBDCs) continue to be a topic of interest and discussion among central banks worldwide. Many central banks are actively researching and exploring the potential benefits and challenges associated with issuing their own digital currencies. Several countries have already begun pilot programs or have launched experimental projects to test the feasibility and implications of CBDCs. I’m sharing with you today’s session of The Digital Currencies’ Opportunity in the ME. It's important to note that the development of CBDCs is an ongoing process, and progress may vary from country to country. I recommend keeping an eye on updates from official sources such as central banks or financial regulators for the latest information on CBDC developments.

This paper delves into how designing and implementing CBDCs can aid nations in safeguarding individual liberties, human rights, and democratic principles. It also highlights their role in ensuring fair treatment of citizens, privacy protection, and fostering trust in central banks. To achieve these goals, establishing robust governance structures for CBDC systems on both national and international scales is crucial. #Cbdc #centralbankdigitalcurrencies #blockchain

Central Bank Digital Currencies (CBDCs) and democratic values Discussions on Central Bank Digital Currencies #CBDCs have so far mostly focused on the potential risks that these currencies could represent for financial intermediation and financial stability. It is important, however, to also consider how they could contribute to the welfare of citizens, and how they can be leveraged to help uphold certain democratic values. This OECD - OCDE paper explores how the design and implementation of CBDCs can help countries mitigate threats to individual liberties and human rights, as well as promote the equitable treatment of citizens, the protection of privacy, and citizens’ trust in central banks. The sound governance architecture of CBDC systems at the national and international level can further support these objectives.

The progress of central bank digital currency (CBDC) projects around the world is increasing the need for an appropriate project management methodology. CBDCs are meant for the public, they are largely experimental, and their impact can be either beneficial or damaging—this latter feature means they require careful experimentation and significant public and private sector coordination. This paper introduces the 5P methodology, which draws from a variety of sources and experiences to help manage CBDC research, experimentation, development, and, when required, operation. Check it out. Leave a comment with what you think about the IMF's approach here and if you think CBDCs are good for the public or not? #CBDC #bankingtechnology #digitalassets TransformationWorx International Monetary Fund

There is still time to submit a paper for the Bank of Canada’s conference on the future of the monetary system in Ottawa on September 26-27, 2024. The conference is jointly organized with the Federal Reserve Bank of New York, Queen’s University, and the Swiss National Bank. Topics of interest include: Distributed ledgers and decentralized finance, Private digital currencies, and Central bank digital currencies. Interested authors are invited to send their papers (extended abstracts will also be considered) by April 14, 2024, to FutureMonetarySystem@bank-banque-canada.ca.