Three considerations for design of the digital pound
The Bank of England is currently in the design phase for a potential UK retail central bank digital currency: the digital pound.
Digital PoundUK Finance, the collective voice for the UK banking and finance industry, has clashed with the bank of England on the proposed 10,000 to 20,000 ceiling on individual holdings in a future central bank digital currency, arguing that such a limit could result in a run on bank deposits.
Britcoin Central Bank Digital CurrencyThe Bank of England is currently in the design phase for a potential UK retail central bank digital currency: the digital pound.
Digital PoundUK Finance and its member banks have successfully completed the experimental phase of a tokenisation and CBDC platform.
CBDCBarclays, Citi UK, HSBC and Natwest participated in the Regulated Liability Network test.
CBDCBarclays published a paper exploring options for various digital pound functionality. It concludes an FMI should be responsible.
CBDC Central Bank Digital Currency Digital PoundAfter the real-time gross settlement crash in July, the BOE is looking for a solution to update the network, proposing synchronization for the revamp while considering wCBDCs as an alternative to the current system.
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