September 17, 2021

The U.K. has begun studying CBDC 

The U.K. has begun studying CBDC

The House of Lords Economic Affairs Committee began a study of central bank digital currencies (CBDC). This is stated on the website of the British Parliament.

In April, the Bank of England and Her Majesty's Treasury set up a joint working group to study CBDC. At the same time, the regulator posted seven vacancies on the digital currency study group. 

The committee will gather evidence on key issues faced by the Treasury and the Bank in the course of its work. It will also look at how CBDC could impact the role of the regulator, monetary policy and the financial sector, the committee said. 

Stakeholders were asked to respond to ten questions, including providing views on the risks and benefits of CBDC, as well as tracking and privacy concerns.

The deadline for responses is Oct. 15, 2021.

Earlier, Bank of England Chief Economist Andrew Haldane suggested that the emergence of national digital currencies would reduce the risks of financial crises.

According to the survey, only 24% of Britons supported the introduction of the digital pound. The greatest concern of citizens is the threat of hacker attacks and privacy breaches.

Recall that the head of BIS Benoit Kere called on central banks to accelerate the development of CBDC.

Jack Evans

About the author

I became a crypto asset owner in 2014, when the industry was in its infancy. Before that, I was working in the classic US and European stock markets. Since then, I have gained extensive experience in both cryptocurrency investing and day trading. I am happy to share with readers my experience with crypto exchanges, DeFi and NFT instruments. 

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