DFC

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Visa, Mastercard are upping merchant fees
Visa, Mastercard are upping merchant fees
"Most credit card companies don’t impose swipe fees on consumers, charging vendors instead. But shoppers end up bearing those costs, as vendors hike prices to cover the fees. The National Retail Federation (NRF), the country’s largest retail association, estimates credit cards cost the average American family $700 a year, an amount that will only grow with the new fees."
#Fintech#CBDC#MasterCard#VISA#DFC
·qz.com·
Visa, Mastercard are upping merchant fees
Deciding on a Digital Dollar: The Necessary Steps for Canada
Deciding on a Digital Dollar: The Necessary Steps for Canada
I spoke at a workshop hosted by the Centre for International Governance Innovation (CIGI) and Bennett Jones on the need for, and design of, a digital Canadian central bank digital currency (CBDC) or "digital loonie". It focused on three areas: what can Canada learn from CBDC first movers (that was the session I participated in), what are the early steps necessary to prepare and design a digital loonie, and what will be required legally for a CBDC and what are the legal pillars on which that system could be based. It was run under Chatham House Rule but a summary report will be published within the next few months.
#Fintech#CBDC#Canada#DFC
·cigionline.org·
Deciding on a Digital Dollar: The Necessary Steps for Canada
Mexico plans a retail CBDC by 2025
Mexico plans a retail CBDC by 2025
The new Governor of the Bank of Mexico, Victoria Rodríguez Ceja, confirmed plans to release a retail central bank digital currency (CBDC) during 2025. During a presentation to the Mexican Senate, the Governor said the first goal of its CBDC will be financial inclusion. It also wants to provide more fast payments options and ensure the economy is efficient and interoperable. The Governor said she’s also keen to enable programmable money and promote innovation. https://www.banxico.org.mx/publications-and-press/speeches/%7BD7EB1919-DE55-95ED-B0F7-0887AE4C6843%7D.pdf
#Fintech#CBDC#LATAM#DFC
·ledgerinsights.com·
Mexico plans a retail CBDC by 2025
Cash Is An Offline Thing
Cash Is An Offline Thing
"In fact, the ability to transact between devices that are not connected to a network at all either because the cloud is down, or there is no mobile network or there is no power because of a natural disaster is a key design requirement for the Chinese digital currency and it should be one for any other digital currency that intends to replace, or even complement, cash."
#Fintech#CBDC#Offline#DFC
·forbes.com·
Cash Is An Offline Thing
You Lost Your Electronic Cash? Tough Luck.
You Lost Your Electronic Cash? Tough Luck.
"If you want to have a central bank digital currency that is a form of electronic cash, that is value that can be transferred from person to person (or, more accurately, from device to device) without online access to some central database or blockchain or whatever else, then you have the obvious problem that if the device containing the electronic cash is lost or destroyed then the value is lost or destroyed with it. But is this actually a problem? I mean, should we try to design a digital currency so that it can be recovered? Maybe it is better if it can be lost."
#Fintech#CBDC#Offline#DFC
·forbes.com·
You Lost Your Electronic Cash? Tough Luck.
G20 and FATF should not infringe on the human right to privacy
G20 and FATF should not infringe on the human right to privacy
"It is important to note that there has not been a sufficient and proper political debate on the balance between human rights and anti-terrorism measures. And as we already have Human Right Treaties in place outlining that mass surveillance and retaining of data of innocent people are a human right infringement, we can only conclude that our Ministries of Finance and Governments are about to make a historical and major mistake that violate their own commitments to privacy. "
#Fintech#CryptoAssets#CBDC#Privacy#DFC
·moneyandpayments.simonl.org·
G20 and FATF should not infringe on the human right to privacy
Will the digital euro respect citizens’ privacy?
Will the digital euro respect citizens’ privacy?
"Physical cash should be the standard for evaluating how to strike a balance between ensuring privacy and adhering to anti-money laundering (AML) and countering the financing of terrorism (CTF) rules. At a minimum, this implies allowing real anonymity and transaction privacy for daily life transactions up to limits that are similar to the current limits for cash. In addition to full anonymity for low-value transactions, a high level of pseudo-anonymity should be provided for all larger transactions to ensure a high level of identity protection."
#Fintech#CBDC#Privacy#AMLCFT#FinancialIntegrity#DFC
·positivemoney.eu·
Will the digital euro respect citizens’ privacy?
‘Built to Fail’? Why TerraUSD’s Growth Is Giving Finance Experts Nightmares
‘Built to Fail’? Why TerraUSD’s Growth Is Giving Finance Experts Nightmares
"UST, by contrast, began life as what’s known as an “algorithmic” stablecoin. These could also be referred to as “decentralized” stablecoins because decentralization is their primary reason for existing. A collateralized stablecoin like USDT or USDC is reliant on banks and traditional markets. That makes them in turn subject to regulation, enforcement and ultimately, censorship of transactions. Circle and Tether are run by centralized corporate entities with the ability to blacklist users and even seize their funds. Both systems have done this, sometimes at government behest."
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·coindesk.com·
‘Built to Fail’? Why TerraUSD’s Growth Is Giving Finance Experts Nightmares
Russia makes 'digital' rouble, home-grown credit card push
Russia makes 'digital' rouble, home-grown credit card push
Russia reportedly plans to have a digital ruble capable of making international payments ready by next year and also wants to expand the number of countries that accept its Visa- and Mastercard-style banking cards that are administrated by the central bank. Central Bank Governor Elvira Nabiullina also said Russia aims to extend the number of countries that accept the central bank’s MIR banking cards, an alternative to Visa and MasterCard which have joined other Western firms and suspended operations in Russia.
#Fintech#CBDC#Russia#DFC
·reuters.com·
Russia makes 'digital' rouble, home-grown credit card push
The Stability of Algorithmic Stablecoins
The Stability of Algorithmic Stablecoins
Here is how an algorithmic stablecoin works. You invent two tokens, call them Dollarcoin and Sharecoin. You list them on the crypto exchanges. Sharecoin trades for whatever price is determined by supply and demand. It might be $0.01 per Sharecoin, or $1, or $100, who knows. But Dollarcoin is supposed to trade at $1. If it trades at $0.99, you have some automatic process in which you print more Sharecoins and use them to buy Dollarcoins until it is back to $1. If it trades at $1.01, you have some automatic process in which you print some more Dollarcoins and use them to buy Sharecoins until it is back to $1. The result is that Dollarcoin is firmly pegged to the dollar. The process is sometimes compared to algorithmic central banking, where the central bank maintains the value of the currency (Dollarcoin) by adjusting its supply.
#Fintech#CryptoAssets#Stablecoins#Terra#DFC
·bloomberg.com·
The Stability of Algorithmic Stablecoins
Japan to model digital yen tests on Sweden’s approach, not China’s
Japan to model digital yen tests on Sweden’s approach, not China’s
The Bank of Japan will reportedly explore central bank digital currency (CBDC) design issues in measured steps like Sweden rather than pressing ahead with large-scale pilot tests like China, according to Kazushige Kamiyama, the head of the BOJ’s payment system department.
#Fintech#CBDC#Japan#DFC
·japantimes.co.jp·
Japan to model digital yen tests on Sweden’s approach, not China’s
Hardware Security Modules (HSMs) | Thales
Hardware Security Modules (HSMs) | Thales
"A hardware security module (HSM) is a dedicated crypto processor that is specifically designed for the protection of the crypto key lifecycle. Hardware security modules act as trust anchors that protect the cryptographic infrastructure of some of the most security-conscious organizations in the world by securely managing, processing, and storing cryptographic keys inside a hardened, tamper-resistant device."
#Fintech#CBDC#Offline#Thales#DFC
·cpl.thalesgroup.com·
Hardware Security Modules (HSMs) | Thales
Central Bank Digital Currencies Are Doomed To Fail - And Here's Why
Central Bank Digital Currencies Are Doomed To Fail - And Here's Why
"The biggest obstacles to CBDC is skepticism and reluctance among the end users, since CBDCs will never be designed with the needs and desires of the users in mind (on the contrary, they're being designed in accordance to the rules of the end government)."
#Fintech#CBDC#DFC
·zerohedge.com·
Central Bank Digital Currencies Are Doomed To Fail - And Here's Why
European Commission receives more than 10,000 public comments amid digital euro consultation
European Commission receives more than 10,000 public comments amid digital euro consultation
The European Commission (EC) has received about 10,000 public comments so far on its call for evidence regarding a digital euro, which is to run from April 5 to June 14 and is aimed at getting feedback for the possible establishment and regulation of a digital currency as a new form of central bank money. During a similar period, the EC is also conducting a consultation targeted at relevant authorities and experts, to help policymakers consider issues including users’ needs and expectations for a digital euro, a digital euro’s role for the EU’s retail payments and digital economy, the application of money-laundering rules, privacy and data protection aspects and international payments.
#Fintech#CBDC#Eurozone#DFC
·theblockcrypto.com·
European Commission receives more than 10,000 public comments amid digital euro consultation
DigiTally: Piloting Offline Payments for Phones
DigiTally: Piloting Offline Payments for Phones
"We developed a prototype system, DigiTally, which lets users make offline payments by copying short strings of digits from one mobile handset to another. Offline payments are already used for electricity (both in prepayment meters and pay-as-you-go solar); can we extend them into a general-purpose payment system, to increase service resilience in the face of network congestion or outage, and provide service to currently excluded areas?"
#Fintech#CBDC#Offline#DFC
·atc.usenix.org·
DigiTally: Piloting Offline Payments for Phones
Central Banks Question Whether CBDCs Need Crypto Tech
Central Banks Question Whether CBDCs Need Crypto Tech
"There has been a widespread assumption that central bank digital currencies (CBDCs) would be built on blockchain — or at least the distributed-ledger technology (DLT) it’s based on. However, a growing number of central bankers and CBDC designers are casting doubt on the need for the technology built for Bitcoin, noting that existing technologies may serve just as well and that blockchain does bring some weaknesses to the table."
#Fintech#CBDC#DFC
·pymnts.com·
Central Banks Question Whether CBDCs Need Crypto Tech
Monetary policy and financial stability implications of central bank digital currencies
Monetary policy and financial stability implications of central bank digital currencies
This article, written by European Central Bank (ECB) staff, is a nice summary of recent research on the possible implications for financial stability and monetary policy of retail central bank digital currency (CBDC). It concludes that careful design will be crucial in maximizing the benefits of CBDCs while managing any unintended consequences. The article also identifies avenues for further research that could usefully inform future policy decisions on such currencies.
#Fintech#CBDC#FinancialStability#DFC
·voxeu.org·
Monetary policy and financial stability implications of central bank digital currencies
Central Bank Digital Loonie: Canadian Cash for a New Global Economy
Central Bank Digital Loonie: Canadian Cash for a New Global Economy
"We propose a two-phased approach. In the first phase, the BoC introduces a centralized platform as a public-good infrastructure that establishes digital cash and ensures global/domestic interoperability. In this phase, e-KYC-based authentication leverages existing private/public sector solutions but also safeguards users' privacy/data against third-party commercial interests while complying with AML/CFT. In the second phase, the BoC will expand the platform to an enterprise-level permissioned blockchain. This shared resource will transform CBDLs into "programmable e-money" within a “social operating system” that will enable Canadians to operate, innovate, compete, and thrive in this new global digital economy."
#Fintech#CBDC#Canada#DFC
·papers.ssrn.com·
Central Bank Digital Loonie: Canadian Cash for a New Global Economy
Stablecoin issuer Circle Internet narrows deadline to apply for U.S. crypto bank charter
Stablecoin issuer Circle Internet narrows deadline to apply for U.S. crypto bank charter
Circle, the issuer of USD stablecoin, is pushing forward with its plans to submit an application to operate as a U.S. crypto bank, CEO Jeremy Allaire told Bloomberg. If approved, the startup would be the fourth federally chartered crypto bank in the U.S. Allaire added that his company and the U.S. Office of the Comptroller of the Currency, which facilitates bank charters, have been talking about Circle's digital asset banking prospects among other related topics such as the interoperability between blockchains.
#Fintech#CryptoAssets#Stablecoins#Circle#USDC#Regulation#DFC
·seekingalpha.com·
Stablecoin issuer Circle Internet narrows deadline to apply for U.S. crypto bank charter
Tether to reduce commercial paper holdings in USDT reserves
Tether to reduce commercial paper holdings in USDT reserves
Tether plans to reduce its holdings of commercial debt in its reserves, Chief Technology Officer Paolo Ardoino told CNBC. Tether holds short-term corporate debt but does not disclose from which companies, which has raised transparency concerns. But Ardoino said Tether, the issuer of the USDT stablecoin, will cut its holdings of commercial paper further than the current 30% of total reserves, and move the money to U.S. Treasurys.
#Fintech#CryptoAssets#Stablecoins#Tether#DFC
·cnbc.com·
Tether to reduce commercial paper holdings in USDT reserves
Central Bank Digital Currencies Are About Control – They Should Be Stopped
Central Bank Digital Currencies Are About Control – They Should Be Stopped
"This feature–making electronic transactions using a liability of the Federal Reserve–is central to why Congress should make sure that the Fed never issues a retail CBDC. The problem is that the federal government, not privately owned commercial banks, would be responsible for issuing deposits. And while this fact might seem like a feature instead of bug, it’s a major problem for anything that resembles a free society. (Paper currency is also a liability of the Fed, but that fact means very little with freely circulating fiat money, especially when private banks issue deposits.)"
#Fintech#CBDC#UnitedStates#DFC
·forbes.com·
Central Bank Digital Currencies Are About Control – They Should Be Stopped
Circle Announces $400M Funding Round
Circle Announces $400M Funding Round
Circle Internet Financial, a global internet finance firm and the issuer of USD Coin (USDC) has entered into an agreement for a $400 million funding round with investments from BlackRock, Fidelity, Marshall Wace LLP and Fin Capital. The funding round is expected to close in the second quarter. In addition to its corporate strategic investment and role as a primary asset manager of USDC cash reserves, BlackRock has entered into a broader strategic partnership with Circle, which includes exploring capital market applications for USDC.
#Fintech#CryptoAssets#Stablecoins#Circle#DFC
·circle.com·
Circle Announces $400M Funding Round
TON Foundation In Talks With Three African Countries To Launch Stablecoins
TON Foundation In Talks With Three African Countries To Launch Stablecoins
Three African country governments are working on a cross-border stablecoin-based payment system with The Open Network (TON), a blockchain designed by the founders of the Telegram messaging platform. The three countries are Republic of Congo (Ministry of Posts, Telecommunications and Digital Economy) Cameroon (Ministry of Posts and Telecommunications), and the Democratic Republic of Congo (Ministry of Digital Economy). Cameroon and the Republic of Congo are part of the Central African Economic and Monetary Community (CAEMC), a six-nation union that shares a common currency (CFA franc) and central bank
#Fintech#CBDC#GovCoins#Africa#Telegram#DFC
·forbes.com·
TON Foundation In Talks With Three African Countries To Launch Stablecoins
DTCC's Project Lithium to assess implications of CBDC on market infrastructure
DTCC's Project Lithium to assess implications of CBDC on market infrastructure
The Depository Trust and Clearing Corporation (DTCC) is developing a prototype to test the ability of US clearing and settlement infrastructure to support a Fed-issued CBDC using a distributed ledger technology (DLT) platform. Project Lithium will measure the benefits of a CBDC and inform the future design of the Depository's clearing and settlement offerings. It will also explore how a CBDC could enable atomic settlement, a conditional settlement that occurs if delivery and payment are both received at the same time.
#Fintech#CBDC#wCBDC#DTCC#UnitedStates#DFC
·finextra.com·
DTCC's Project Lithium to assess implications of CBDC on market infrastructure
Central bank digital currencies: a new tool in the financial inclusion toolkit?
Central bank digital currencies: a new tool in the financial inclusion toolkit?
The Bank for International Settlements and World Bank published a paper on potential central bank digital currency (CBDC) impacts on financial inclusion. It concludes that a CBDC alone may not address financial inclusion challenges, but it could play a role as part of a broader suite of tools. The development of an acceptance ecosystem will be required, which will allow for the seamless exchange between digital and physical forms of currency. Significant and wide-reaching financial and digital literacy activities will also be required if a CBDC is to be afforded the same levels of trust currently enjoyed by other forms of central bank money. Also relevant are including the entry of non-banks and new business models, and applying tiered user onboarding approaches, introducing fast payment services, the use of open banking and APIs to enable efficient interfaces, and ensuring fair, transparent and risk-based access criteria for access to payment systems and financial infrastructures.
#Fintech#CBDC#BIS#DFC
·bis.org·
Central bank digital currencies: a new tool in the financial inclusion toolkit?
Central Bank of Iran Shares Details About Digital Rial Project
Central Bank of Iran Shares Details About Digital Rial Project
The Central Bank of Iran (CBI) reportedly informed banks and other credit institutions about regulations related to the minting and distribution of the crypto riyal central bank digital currency (CBDC). The distributed ledger technology based system will be maintained by authorized financial institutions and capable of implementing smart contracts.
#Fintech#CBDC#MiddleEast#DFC
·news.bitcoin.com·
Central Bank of Iran Shares Details About Digital Rial Project