DFC

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What's Happening to UST?
What's Happening to UST?
"For now, MakerDAO remains the premier decentralized stablecoin with over-collateralized crypto reserves backing the DAI stablecoin. The race to develop the first under-collateralized stablecoins remains to be won as projects like USDN on the Near Protocol or Frax Share on Ethereum gain popularity."
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·grayscale.com·
What's Happening to UST?
Nigerian CBDC Wallet Update to Enable Utility Payments, USSD Functionality to Be Added
Nigerian CBDC Wallet Update to Enable Utility Payments, USSD Functionality to Be Added
"Jelil also is quoted in the report revealing how the CBN’s plan to add the USSD functionality to the wallet opens the door for non-account holders to use the CBDC. According to one financial specialist and blogger, USSD may be the best available technology that can be used to deliver mobile financial services to low-income customers."
#Fintech#CBDC#Africa#DFC
·news.bitcoin.com·
Nigerian CBDC Wallet Update to Enable Utility Payments, USSD Functionality to Be Added
Another Algorithmic Stablecoin Isn’t
Another Algorithmic Stablecoin Isn’t
"The basic thing that makes Terra valuable is confidence in it. The essential source of this confidence is ... just sort of recursive social belief? If you think that everyone else will treat Terra as worth a dollar, then you will treat it as worth a dollar, and you won’t sell it for $0.90 in a panic, which means that it won’t go down to $0.90, etc. But if you think that everyone else will treat Terra as worth zero, then you will dump it as fast as you can at whatever price you can get, which means that it will go down below $0.90, etc."
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·bloomberg.com·
Another Algorithmic Stablecoin Isn’t
Unstable Stablecoin: How Crypto’s Crash Broke The Buck For TerraUSD
Unstable Stablecoin: How Crypto’s Crash Broke The Buck For TerraUSD
"TerraUSD (UST), a digital token with a $16 billion market capitalization that is designed to maintain a 1:1 peg with the dollar, known as a stablecoin, nosedived over the past 24 hours. Its price fell below $.65, before somewhat recovering to $0.93 as of this writing. In other words, UST failed spectacularly at the one thing that it was supposed to do - maintain parity with the dollar."
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·forbes.com·
Unstable Stablecoin: How Crypto’s Crash Broke The Buck For TerraUSD
eNaira Upgrade: CBN to include bills payment
eNaira Upgrade: CBN to include bills payment
Central Bank of Nigeria Lagos Branch Controller Bariboloka Koyor reportedly there is going to be an upgrade on the eNaira speed wallet app that will allow it to do transactions such as paying for utilities and even flight tickets. Going forward it will also be used by the government to disburse funds that they want to give to alleviate poverty. Explaining the difference between the eNaira and the internet banking services offered by banks, Koyor pointed to the speed of transaction settlement and that there are no charges.
#Fintech#CBDC#Africa#DFC
·vanguardngr.com·
eNaira Upgrade: CBN to include bills payment
Wary of Crypto, Tanzania Shifts Closer to Own Digital Currency
Wary of Crypto, Tanzania Shifts Closer to Own Digital Currency
Bank of Tanzania Governor Florens Luoga reportedly said that the central bank is edging closer to introducing a CBDC to help counter the rising popularity of cryptocurrencies in the nation. “It’s important for us to provide a central bank digital currency as a safe alternative because many people are being affected by cryptocurrency speculators.”  The bank can’t ignore the technological advancement of money, and it has sent its officials to countries with more experience in CBDCs, including Nigeria, to learn from them.
#Fintech#CBDC#Africa#DFC
·bloomberg.com·
Wary of Crypto, Tanzania Shifts Closer to Own Digital Currency
Chilean Digital Peso Would Need to Work Offline, Central Bank Governor Says
Chilean Digital Peso Would Need to Work Offline, Central Bank Governor Says
Banco Central de Chile Governor Rosanna Costa reportedly said that Chile's central bank digital currency (CBDC) would need to accept offline payments, but added that no final decision had been taken on whether to issue a digital form of the Chilean peso. She said that an offline system should “allow the authorities to trace the transaction afterwards,” while safeguarding personal data, adding that the technology to do so was “not necessarily efficient today.”
#Fintech#CBDC#Offline#LATAM#DFC#Chile
·coindesk.com·
Chilean Digital Peso Would Need to Work Offline, Central Bank Governor Says
The Bahamas’ ‘Sand Dollar’ Needs Improved Cybersecurity, IMF Says
The Bahamas’ ‘Sand Dollar’ Needs Improved Cybersecurity, IMF Says
The International Monetary Fund (IMF) said that the Bahamas’ Sand Dollar central bank digital currency (CBDC) needs better reach and more security to achieve its aims. The IMF noted the Sand Dollar represents only 0.1% of currency in circulation. The country’s central bank “should continue strengthening internal capacity – including on cybersecurity and the resilience of systems associated with the Sand Dollar,” adding that there are currently “limited avenues to use the Sand Dollar.” https://www.imf.org/en/Publications/CR/Issues/2022/05/06/The-Bahamas-2022-Article-IV-Consultation-Press-Release-Staff-Report-and-Statement-by-the-517631
#Fintech#CBDC#Caribbean#DFC
·coindesk.com·
The Bahamas’ ‘Sand Dollar’ Needs Improved Cybersecurity, IMF Says
Bank of Israel still unsure on digital shekel but garners public support
Bank of Israel still unsure on digital shekel but garners public support
The Bank of Israel has received public support for its plans to possibly issue a digital shekel on grounds it would help the economy by supporting innovation in the payments system, reducing the amount of cash and bolstering the fintech sector. Although the central bank has not made a final decision on whether it will issue a digital shekel, all of the responses to the public consultation indicate support for continued research regarding the various implications on the payments market, financial and monetary stability, legal and technological issues, and more. Some want full anonymity like cash, while others believe a digital shekel should be subject to money laundering rules and helping the war on the "black economy." Also, a digital shekel should also come at a zero or low costs to business owners and consumers and be easy to use for all, including the elderly. https://www.boi.org.il/en/NewsAndPublications/PressReleases/Pages/9-5-22.aspx
#Fintech#CBDC#DFC
·reuters.com·
Bank of Israel still unsure on digital shekel but garners public support
UST Stablecoin Falls Below Dollar Peg for Second Time in 48 Hours
UST Stablecoin Falls Below Dollar Peg for Second Time in 48 Hours
TerraUSD (UST), the the third largest stablecoin by market capitalization and the largest algorithmic stablecoin, has lost its dollar peg. The first depeg took place on May 7 (Saturday) and after recovering the next day, the peg broke again today (Monday, May 9). This isn't UST's first depeg, nor its largest, but it marks the first time it has lost its peg since it started building out Bitcoin and Avalanche reserves. Today’s depeg comes after the Luna Foundation Guard announced Sunday night that $1.5 billion of its massive bitcoin reserves would be “loaned” out to professional market makers to proactively defend UST’s dollar peg.
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·coindesk.com·
UST Stablecoin Falls Below Dollar Peg for Second Time in 48 Hours
About Vow
About Vow
"Vow itself is a tool; a tool through which communities can contribute to the creation of a parallel currency supply. Businesses and individuals which form any community can work together, cooperatively eliminating the risks inherent in centralized currency systems."
#Fintech#CBDC#DFC
·vowcurrency.com·
About Vow
Abaku Capital
Abaku Capital
Abaku SDR is 100% backed by the currencies underlying the IMF’s currency. Deposits are held by a major international bank with monthly audits conducted by a certified accounting firm to validate the presence of collateral
#Fintech#CBDC#SDR#DFC
·abaku.capital·
Abaku Capital
Possible Design Choices of CBDC
Possible Design Choices of CBDC
On April 13, 2022, UCHIDA Shinichi, Executive Director of the Bank of Japan, provided an update on the Bank of Japan's central bank digital currency (CBDC) work.
#Fintech#CBDC#Japan#DFC
·boj.or.jp·
Possible Design Choices of CBDC
UST Stablecoin Briefly Loses Peg, Luna Drops 10%
UST Stablecoin Briefly Loses Peg, Luna Drops 10%
TerraUSD (UST), the the third largest stablecoin by market capitalization and the largest algorithmic stablecoin, briefly lost its dollar peg on May 7, 2022, falling to .987 before bouncing back the next day. This wasn't UST's first depeg, nor its largest, but it marks the first time it has lost its peg since it started building out Bitcoin and Avalanche reserves. The depeg did not cause Terra to tap into its Bitcoin reserves, as the deployment of hundreds of millions of dollars of rescue capital appeared enough to buoy the token back to around $1.
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·coindesk.com·
UST Stablecoin Briefly Loses Peg, Luna Drops 10%
Gaining momentum – Results of the 2021 BIS survey on central bank digital currencies
Gaining momentum – Results of the 2021 BIS survey on central bank digital currencies

90% of the 81 central banks surveyed by the Bank for International Settlements (BIS) are exploring central bank digital currency (CBDC). Compared with last year's survey, the share of  central banks currently developing a CBDC or running a pilot almost doubled from 14% to 26%, and 62% are conducting experiments or proofs-of-concept. The results show that the work on retail CBDCs is at a more advanced stage than the work on wholesale CBDCs. Almost one fifth of central banks are developing or testing a retail CBDC, which is twice the share of central banks building or piloting a wholesale CBDC, which is increasingly driven by reasons related to cross-border payments efficiency. 68% of the surveyed central banks consider that they are likely to or might possibly issue a retail CBDC in either the short or medium term.

#Fintech#CBDC#BIS#DFC
·bis.org·
Gaining momentum – Results of the 2021 BIS survey on central bank digital currencies
Abaku Capital
Abaku Capital
The primary function of Abaku Capital is the maintenance and promotion of a family of tokens aimed at facilitating commerce. The flagship token is designed for monetary stability, and as a hedge against foreign-exchange risk, whereas the rest of the family comprises tethers to various currencies of interest. This token is, in essence, a cryptonisation of the International Monetary Fund’s proprietary currency, the SDR (special drawing rights). The SDR, and therefore its Abaku counterpart, is an asset-backed currency based on a basket of national currencies managed by the IMF.
#Fintech#CryptoAssets#Stablecoins#SDR#DFC
·abaku.capital·
Abaku Capital
Proposed digital euro designs lack privacy options, ECB presentation shows
Proposed digital euro designs lack privacy options, ECB presentation shows
"Next to the fears of government overreach that the European Union’s ambitious digital euro project stirred, the main concern of the public is the prospective currency’s privacy framework. It appears that this worry might not be overblown after all, as the European Central Bank’s (ECB) latest presentation hints that user anonymity is not a desirable design option."
#Fintech#CBDC#Eurozone#Privacy#DFC
·cointelegraph.com·
Proposed digital euro designs lack privacy options, ECB presentation shows
Zimdollar: RBZ seeks crypto solution
Zimdollar: RBZ seeks crypto solution
The Reserve Bank of Zimbabwe reportedly decided to issue central bank digital currency (CBDC). The central bank is currently still at the research stage, and will be moving to the design stage shortly, although they have yet to decide whether it would be retail or wholesale.
#Fintech#CBDC#Africa#DFC
·newsday.co.zw·
Zimdollar: RBZ seeks crypto solution
About Input Output - IOHK
About Input Output - IOHK
"Founded in 2015 by Charles Hoskinson and Jeremy Wood, IOHK is one of the world's pre-eminent blockchain infrastructure research and engineering companies. We are a fully decentralised remote working organisation committed to the highest principles of academic rigour and evidence-based software development. The company builds high-assurance blockchain infrastructure solutions for public, private sector and government clients. It is also the driving force behind the decentralised and smart contract platform, Cardano."
#Fintech#CryptoAssets#CBDC#Blockchain#DFC
·iohk.io·
About Input Output - IOHK
Cash and COVID-19 in Canada: What happened in 2021
Cash and COVID-19 in Canada: What happened in 2021
The Bank of Canada provided an update on the impact the COVID-19 pandemic on the demand for cash and the use of methods of payment based on data from the Bank Note Distribution System and from consumer surveys conducted in April and August 2021. Cash in circulation remained high throughout 2021, driven mainly by demand for large-denomination notes. Canadians’ holdings of cash on hand in April (median $70) and August (median $80) were comparable to results seen in 2020. Other cash holdings reported by Canadians remained elevated, with a median value of $260 in August. In August 2021, 62% of Canadians used cash for payments, and indicators of merchant acceptance of cash improved in both the April and August surveys. A large majority of Canadians (around 80%) in 2021 continued reporting that they have no plans to go cashless in the next five years.
#Fintech#CBDC#Cash#Canada#DFC
·bankofcanada.ca·
Cash and COVID-19 in Canada: What happened in 2021
How central banks are moving into e-money
How central banks are moving into e-money
"Central banks must ensure that the currencies are successful, but not too successful. In a report to the European Parliament Mr Brunnermeier and Jean-Pierre Landau of Sciences Po in Paris suggest that a central bank “will have to ensure that the cbdc is present everywhere but important nowhere”."
#Fintech#CBDC#DFC
·economist.com·
How central banks are moving into e-money
Towards the holy grail of cross-border payments
Towards the holy grail of cross-border payments
This paper, co-authored by the European Central Bank's Ulrich Bindseil, describes current potential "holy grail" ways to cheap cross-border payments that settle immediately in a secure settlement medium. It concludes that several solutions are suitable and some may even be the holy grail.
#Fintech#CBDC#CrossBorder#Stablecoins#DFC
·papers.ssrn.com·
Towards the holy grail of cross-border payments
Argentine Central Bank Explores Central Bank Digital Currency
Argentine Central Bank Explores Central Bank Digital Currency
Banco Central de la República Argentina published a paper that summarizes the design and architecture alternatives under study to minimize some of the risks of issuing a retail CBDC. There are no indications in the paper that the central bank has plans for deeper exploration.
#Fintech#CBDC#LATAM#DFC
·bcra.gob.ar·
Argentine Central Bank Explores Central Bank Digital Currency
Reserve Bank pleased with strong public interest in the Future of Money
Reserve Bank pleased with strong public interest in the Future of Money
The New Zealand Reserve Bank published a summary of responses to three 2021 "future of money" issues papers, one of which canvassed issues and options for a potential central bank digital currency (CBDC). Feedback reinforced the need for privacy to be a critical feature of any potential CBDC.
#Fintech#CBDC#Asia#DFC
·rbnz.govt.nz·
Reserve Bank pleased with strong public interest in the Future of Money
ECB issues expression of interest for CBDC prototype user interfaces
ECB issues expression of interest for CBDC prototype user interfaces
The European Central Bank (ECB) has launched a call for expression of interest for payment service providers, banks and technology companies to join an exercise to develop prototype user interfaces for a digital euro. The ECB specifies 28 separate possible use cases, covering all aspects of the design process, from QR codes to user authentication, electronic ID (EID) and know-your-customer (KYC), among others.
#Fintech#CBDC#Eurozone#DFC
·ecb.europa.eu·
ECB issues expression of interest for CBDC prototype user interfaces
Retail CBDC purposes and risk transfers to the central bank
Retail CBDC purposes and risk transfers to the central bank
"The issuance of retail central bank digital currency (CBDC) entails a transfer of risk from commercial banks to the central bank. While this paper does not provide an overall assessment on whether or not to issue a retail CBDC, it analyzes how different mechanisms to limit the risk transfer, such as an unattractive interest rate on retail CBDC, a quantity ceiling or preventing convertibility of cash and reserves into CBDC, have different effects on the ability of retail CBDC to fulfil its intended purposes. In particular, these mechanisms hinder the use of CBDC as a medium of exchange. Specific aspects of demand and challenges related to a potential retail CBDC in Switzerland, namely, a small open economy with a safe-haven currency and a low level of government debt, are discussed."
#Fintech#CBDC#Switzerland#DFC
·snb.ch·
Retail CBDC purposes and risk transfers to the central bank
Bangko Sentral ng Pilipinas pursues digital currency pilot project
Bangko Sentral ng Pilipinas pursues digital currency pilot project
The Bangko Sentral ng Pilipinas (BSP) has decided to pursue a wholesale CBDC pilot project as part of its efforts to promote the stability of the country’s payment system. Dubbed CBDCPh, it will test the use of CBDCs for large-value financial transactions on a 24/7 basis across a limited number of financial institutions.
#Fintech#CBDC#wCBDC#Asia#Philippines#DFC
·bsp.gov.ph·
Bangko Sentral ng Pilipinas pursues digital currency pilot project
HKMA discussion paper on e-HKD from policy and design perspective
HKMA discussion paper on e-HKD from policy and design perspective
The Hong Kong Monetary Authority (HKMA) has published a discussion paper inviting views on the key issues around a retail central bank digital currency (CBDC). This is a followup to the paper published in October 2021 on potential architectures and design options for distributing e-HKD, and this new one focuses on use cases, the issuance mechanism, interoperability with other payment systems, privacy and data protection. Members of the public and the industry have until May 27, 2022 to submit comments.
#Fintech#CBDC#Asia#DFC
·hkma.gov.hk·
HKMA discussion paper on e-HKD from policy and design perspective