This decade has witnessed a high wave of central banks wanting to make digital versions of their fiat money, also called the Central Bank Digital Currency (CBDC) following the success of cryptocurrencies. Thailand just announced it would be unveiling its own CBDC next year. What shape does the race take after then?
The features presented by blockchain would be forcing central banks to adopt and use the technology on a large scale, but some governments including China, Jamaica, etc., don't want their central banks to use the tech in the issuance and distribution of their own state-backed central bank digital currency (CBDC).
As digital payment tools become increasingly widespread, traditional finance is also seeking to create a worthy alternative to the existing means. That is why numerous countries are exploring the potential of Central Bank Digital Currency (CBDC).
When Bitcoin first stepped in the United Kingdom, it was sluggishly welcomed with two hands and people. At first the citizens were reluctant about learning or using Bitcoin since it was still a new technology. But now, the trend of cryptocurrency adoption seems to be growing.
The digitalisation of the financial industry and the economy at large as well as the development of fintech increased public demand for cryptocurrency and advanced payment methods in Russia. However, the position of the country on cryptocurrency is still not clear.
The story of banning Bitcoin in India seems not to be any near to the end. At first, it was the country's Reserve Bank (RBI) calling for the immediate ban of cryptocurrencies. Now, it's the people and businessmen themselves that are calling for the government to put a total ban on Bitcoin.
Many countries are shifting towards introducing their own state-backed digital currencies. Central banks are exploring the potential of CBDCs. But is this effort really a good move on the rest of private coins including Bitcoin, Ethereum, and XRP?
The COVID-19 pandemic has opened the eyes of many central banks and has now taken a route of fintech innovation. Some of the major tools being currently looked at is introducing central bank digital currency (CBDC) into the finance and banking industry. But the main question is how these new forms of digital currencies impact the economy.
Numerous countries and health organizations around the world have been researching all possible ways of preventing the spread of COVID-19. Among other means is switching all possible activity including payment to the online mode.