One major buzz in the crypto space has been around the launch of a central bank digital currency (CBDC). According to a Bank of International Settlements report, more than 80% of central banks around the world are already researching the prospects of a CBDC.
The U.S. Federal Reserve has announced that it is assessing a central bank digital currency (CBDC).
The central bank has released the preconditions necessary for the launch of the digital dollar.
Hedera is one of the platforms rumored to be potentially working on the CBDC.
Central banks are playing catch up as most global payments are now digital, and many companies are accepting cryptos. However, a central bank digital currency would provide low-risk, central-bank-backed money – think of it like regular cash, only updated for the digital financial system.
"Central bank digital currencies are going to be built and customized for specific monetary authorities. Emtech has a vision to create a digital cash infrastructure. It's a great vision. It's a bold vision. Their idea of reimaging cash with central banks as they consider using DLT is to close some of the economic gaps. It's an important use case that we believe in strongly. To be more specific Emtech built solutions specifically designed for fintechs and central banks. They've built a regulatory sandbox for fintechs that want to go to market and want to access central banks. This sandbox provides central banks the opportunity to collaborate with fintechs in those respected jurisdictions and encourages innovation in those markets. Emtech will integrating with Hedera Token Service and Hedera Consensus Service."
- Mance Harmon, CEO and Co-founder of Hedera Hashgraph
Check out these short clips:
And this video by Ayman Mufleh:
Here are the sources, if you want to read more:
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