Many European banking groups are not supportive of the digital euro, Europe’s proposed central bank digital currency (CBDC). By...
CBDC
Until recently the central bank digital currency (CBDC) emphasis has been on consumer oriented or retail usage. In the last few months, there's been considerably more talk about wholesale applications. In the past, the primary central bank interest in wholesale CBDC was for cross border payments. One example is the mBridge project from the central banks of China, Hong Kong, Thailand and the UAE.
A key driver of Europe's current wholesale exploration is the potential usage of DLT in capital markets. To a lesser extent, it could also support tokenized deposits. The BIS recently proposed the concept of a Unified Ledger, a network that could support CBDC, tokenized deposits and other digital assets. Europe plans to incorporate this into its wholesale trials.
Examples of wholesale projects to support tokenized bank depoits include Brazil's DREX and Korea's recently announced wholesale initiative.
Chinese think tank mulls US dollar stablecoin response
A recent opinion piece published in several Chinese outlets considers how China should respond to the proliferation of US dollar...
Swiss central bank explores synthetic CBDC
The Swiss National Bank (SNB) has been a trail blazer with its pilot wholesale central bank digital currency (wCBDC) that is being used...