Free Transactions: A Hurdle for China’s Digital Currency Adoption?
The adoption of China’s central bank digital currency (CBDC), known as the digital renminbi (RMB), is said to be facing challenges for not having merchant fees. Unlike payment services like WeChat Pay and Alipay, the digital RMB doesn’t incur transaction fees for merchants, which initially seems beneficial. However, this lack of fees discourages point of […]
Bank of Korea and Korea Exchange Embark on Groundbreaking DLT and CBDC Trials for Carbon Trading
Bank of Korea and Korea Exchange are initiating a comprehensive exploration of Distributed Ledger Technology (DLT) and Central Bank Digital Currency (CBDC) within the carbon trading sector. This venture is set to unfold through a series of experimental trials, planned for the second half of 2024. Both the central bank and the exchange are well […]
Standard Chartered and Deutsche Bank Test Stablecoin Payments on UDPN Blockchain
Standard Chartered’s SC Ventures and Deutsche Bank have successfully concluded an initial proof of concept (PoC) using the Universal Digital Payments Network (UDPN). This venture intends to facilitate payments between different Central Bank Digital Currencies (CBDCs) and blockchain networks through message exchanges, somewhat reminiscent of Swift. However, the distinct difference lies in using a permissioned […]
CBDC vs US Dollar: Will Argentina Adopt a CBDC or Dissolve their Central Bank in Favour of the US Dollar?
On October 22, Argentinians will cast their votes to select their new president. One prominent candidate, Sergio Massa, who currently serves as the Minister of the Economy, has proposed introducing a central bank digital currency (CBDC) if elected. Massa is contesting under the banner of the Union for the Homeland (Unión por la Patria). Argentina’s […]
Asian Games Prompt China to Enhance Digital Yuan Features for Hong Kong Visitors
In the run-up to the Asian Games, China has unveiled two enhancements to its central bank digital currency (CBDC). These changes facilitate Hong Kong travellers to replenish their digital yuan wallets via Hong Kong’s Faster Payment System, as well as through Visa or Mastercard accounts. Although integration efforts between Hong Kong and the digital RMB […]
Spanish Banks Investigate Merging of Digital Euro into Current Payment Frameworks
Whilst the future of the digital euro is still unknown, some Spanish banks have recently unveiled the outcomes of their digital euro trials, prominently featuring their experiments with Bizum, the bank-backed payment app that’s familiar to half of Spain’s populace. Prominent Spanish banking institutions like Santander, BBVA, CaixaBank, and Sabadell actively engaged in this trial. […]
HKMA: Project mBridge set for minimum viable product by the middle of 2024
The Hong Kong Monetary Authority (HKMA) has unveiled that the mBridge project is expected to introduce a minimum viable product by the middle of 2024. If mBridge’s implementation is successful, it may pose a challenge to Swift’s leading payment system and could influence similar shifts in payment methods across different regions. Developed in partnership by […]
Nigeria’s Central Bank Reinforces Trust in Its Digital Currency Amid Speculation
The Central Bank of Nigeria (CBN) reaffirmed its trust in its central bank digital currency (CBDC), known as the eNaira, in a recent statement. This response comes in the wake of concerns about the digital currency’s impact on the country’s financial framework. Last month, the Bank shared insights into the financial implications of integrating a […]
The Decline of Cash: CBDC’s Potential Role in Modern Canadian Banking
The Bank of Canada recently released a study delving into the challenges related to financial inclusivity that a potential Central Bank Digital Currency (CBDC) might face. This study highlighted obstacles prevalent among rural residents, indigenous groups, low-income households, and individuals with disabilities. Interestingly, a previous report had expressed doubts about the need for a CBDC, […]
Bank of Korea & BIS Collaborate on Wholesale CBDC Pilot, Tokenized Deposits, Unified Ledger
The Bank of Korea (BoK) is teaming up with the Bank for International Settlements (BIS) to launch a pilot program for a wholesale central bank digital currency (CBDC). The initiative is geared towards utilising it as a settlement asset for tokenized deposits by commercial banks. The pilot will also delve into the Unified Ledger concept […]