According to information from ING’s official website, Mark Cliffe, ING’s Chief Economist discussed the possibility of creating cryptocurrency by Central Banks, they may appear faster than everyone expects.
In addition to the ING’s Chief Economist, the discussion was attended by ING's Lead Economist for Digital Finance, Teunis Brosens, IMF Economist, Priscilla Toffano and Phil Middleton from the central bank thinktank, OMFIF. During the conversation, it was said that the first official Central Bank cryptocurrency can be created within 5 years.
Expert’s thoughts on CB Cryptocurrencies
Teunis Brosens expressed the following thoughts about the existing banking system and why its own cryptocurrency will be a clear win:
“The existing financial infrastructure is quite outdated. It’s expensive, it takes a lot of time, compliance is difficult and the central bank digital currency could be a new single technical infrastructure which is faster, cheaper, which makes is one go very easy. So it would be a big leap forward.”
Mark Cliffe himself considers cryptocurrency a necessity for banks, this is what he says:
“And this might open up a range of other options for the central banks to help support another economic activity in the next downturn.”
Foe of “global stablecoins”
Central Banks cryptocurrencies can become an effective alternative to “global stablecoins”, such as Libra. In particular, banks have time to create their own digital coins due to the failures of Libra.
How do you think, how fast will it take for the first CB digital currency to come? Leave your thoughts in the comment section.