BIS-Innovation-Summit-2024

Posted on Edited on

https://www.bis.org/events/bis_innovation_summit_2024/overview.htm

High-level panel

The future of CBDCs: the road ahead for retail versus wholesale CBDCs
Technology is evolving rapidly, and many experiments in the area of CBDC are in progress or have been concluded. Policy makers are still observing and deciding any next steps. In that context, panellists will discuss the future of retail and wholesale CBDCs.
Speakers:  

  1. Shaktikanta Das, Governor, Reserve Bank of India, Blockchain-based tokens can facilitate peer-to-peer payments, but future advancements are needed, such as: 1) programmable features; 2) interest-bearing or interest-free options; 3) offline usability; 4) digital representation of physical cash; 5) varying levels of access control. When comparing fast payment systems to tokenized central bank digital currency (CBDC) payments linked to universal basic income (UBI) bank accounts, tokenized CBDC payments offer advantages such as: 1) enhanced efficiency and transparency; 2) capability to accommodate various token types; 3) automation through programmable features.
  2. Joachim Nagel, President, Deutsche Bundesbank There’s a need to accelerate the development of digital currency, and CBDCs will be distinct. A single distributed ledger technology (DLT) platform can support a wide range of services.
  3. Fabio Panetta, Governor, Bank of Italy Difficulties encountered with centralized CBDCs include: 1) challenges in handling a large volume of system requests and transactions in retail payments; 2) difficulty in achieving privacy. Additionally, CBDCs must consider facilitating convenient and cost-effective cross-border transactions as a functional requirement. Tokenization options include: 1) each country creating its own token; 2) utilizing an EU DLT process for wholesale settlement. In the future, there may be a greater demand for data engineers rather than economic analysts.

Showcase:

  1. project Mandala https://www.bis.org/about/bisih/topics/cbdc/mandala.htm

  2. project mBridge https://www.bis.org/about/bisih/topics/cbdc/mcbdc_bridge.htm






screenshot of HK central bank system, trading from e-HKD to e-THB via mBridge.

Full video link ==> https://www.youtube.com/watch?v=V2UJ9xzbJGs