{"id":15476,"date":"2020-10-30T13:31:23","date_gmt":"2020-10-30T13:31:23","guid":{"rendered":"http:\/\/bulletins.bfconsulting.com\/?p=15476"},"modified":"2020-10-30T13:31:23","modified_gmt":"2020-10-30T13:31:23","slug":"design-considerations-for-central-bank-digital-currencies","status":"publish","type":"post","link":"https:\/\/bulletins.bfconsulting.com\/en\/design-considerations-for-central-bank-digital-currencies\/","title":{"rendered":"Design considerations for central bank digital currencies"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Central bank digital currencies (CBDCs) are being explored and, in some cases, piloted by central banks around the world. To become a contributing part of our future world however, they must be paired with an extremely resilient, secure and performant infrastructure that has the ability to onboard, authenticate and support users on a massive scale. As central banks look toward designing, developing and implementing CBDCs, they must give careful attention to certain elements of policy and technical design, especially those related to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Ledger infrastructure \u2013 central banks will want to be careful to balance their need for control over the currency with consumer privacy rights.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Wallets and funds\/key custody \u2013 consumers will need a secure way to hold their funds and send transactions.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Privacy \u2013 a CBDC can potentially reveal significantly more information about individuals\u2019 transactions to central banks than existing systems do. Consumer privacy is an issue of major importance.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Monetary policies \u2013 there are still uncertainties over how a CBDC will affect monetary policy implementation and transmission. These uncertainties suggest using a cautious approach going forward until this is better understood.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Future opportunities for innovation \u2013 there will be many opportunities for innovation using a CBDC. Central banks need to remain open to them in order to maximize the efficacy of implementing such a currency.<\/span><\/li>\n<\/ul>\n<div class=\"rpbt_shortcode\">\n\n<div id='rpbt-related-gallery-1' class='gallery related-gallery related-galleryid-15476 gallery-columns-3 gallery-size-thumbnail'><figure class='gallery-item' role='group' aria-label='Is Ukraine ready for a PSD2-like initiative?'>\n\t\t\t<div class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/bulletins.bfconsulting.com\/en\/is-ukraine-ready-for-a-psd2-like-initiative\/'><img width=\"150\" height=\"150\" src=\"https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2019\/05\/is-ukraine-ready-for-a-psd2-like-initiative-150x150.png\" class=\"attachment-thumbnail size-thumbnail\" alt=\"\" decoding=\"async\" aria-describedby=\"rpbt-related-gallery-1-12842\" loading=\"lazy\" \/><\/a>\n\t\t\t<\/div>\n\t\t\t\t<figcaption class='wp-caption-text gallery-caption' id='rpbt-related-gallery-1-12842'>\n\t\t\t\tIs Ukraine ready for a PSD2-like initiative?\n\t\t\t\t<\/figcaption><\/figure><figure class='gallery-item' role='group' aria-label='Alfa-Bank leading Belarus into a fintech future'>\n\t\t\t<div class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/bulletins.bfconsulting.com\/en\/alfa-bank-leading-belarus-into-a-fintech-future\/'><img width=\"150\" height=\"150\" src=\"https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2018\/02\/fast-arrow-design_1017-9650-150x150.jpg\" class=\"attachment-thumbnail size-thumbnail\" alt=\"\" decoding=\"async\" aria-describedby=\"rpbt-related-gallery-1-8570\" loading=\"lazy\" srcset=\"https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2018\/02\/fast-arrow-design_1017-9650-150x150.jpg 150w, https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2018\/02\/fast-arrow-design_1017-9650-300x300.jpg 300w, https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2018\/02\/fast-arrow-design_1017-9650.jpg 626w\" sizes=\"(max-width: 150px) 100vw, 150px\" \/><\/a>\n\t\t\t<\/div>\n\t\t\t\t<figcaption class='wp-caption-text gallery-caption' id='rpbt-related-gallery-1-8570'>\n\t\t\t\tAlfa-Bank leading Belarus into a fintech future\n\t\t\t\t<\/figcaption><\/figure><figure class='gallery-item' role='group' aria-label='Kazakhstan&#8217;s Financial Sector Increasing Adoption of Artificial Intelligence'>\n\t\t\t<div class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/bulletins.bfconsulting.com\/en\/kazakhstans-financial-sector-increasing-adoption-of-artificial-intelligence\/'><img width=\"150\" height=\"150\" src=\"https:\/\/bulletins.bfconsulting.com\/wp-content\/uploads\/2023\/08\/7d87b91c-fbc8-4773-671a-224bdab15e481-150x150.png\" class=\"attachment-thumbnail size-thumbnail\" alt=\"\" decoding=\"async\" aria-describedby=\"rpbt-related-gallery-1-17604\" loading=\"lazy\" \/><\/a>\n\t\t\t<\/div>\n\t\t\t\t<figcaption class='wp-caption-text gallery-caption' id='rpbt-related-gallery-1-17604'>\n\t\t\t\tKazakhstan&#8217;s Financial Sector Increasing Adoption of Artificial Intelligence\n\t\t\t\t<\/figcaption><\/figure>\n\t\t<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Central bank digital currencies (CBDCs) are being explored and, in some cases, piloted by central banks around the world. To become a contributing part of our future world however, they must be paired with an extremely resilient, secure and performant infrastructure that has the ability to onboard, authenticate and support users on a massive scale. &hellip;<\/p>\n","protected":false},"author":12,"featured_media":15477,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10,16],"tags":[],"_links":{"self":[{"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/posts\/15476"}],"collection":[{"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/comments?post=15476"}],"version-history":[{"count":1,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/posts\/15476\/revisions"}],"predecessor-version":[{"id":15478,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/posts\/15476\/revisions\/15478"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/media\/15477"}],"wp:attachment":[{"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/media?parent=15476"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/categories?post=15476"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bulletins.bfconsulting.com\/en\/wp-json\/wp\/v2\/tags?post=15476"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}