The BoE joins the U.S. Federal Reserve and the Bank of Canada, which has been working with MIT, but it insists that it’s just research and the two won’t develop a central bank digital currency.
The Deputy Governor said the risks posed by stablecoins as well as decentralized and derivatives trading on unbacked assets, were enough to require a more hands-on regulatory approach.
The upper house of the U.K.’s parliament, the Lords’ Economic Affairs Committee is calling for public submissions on whether a digital pound should be adopted in the country.
U.K. Treasury insiders have confirmed that a task force has been established to explore how the CBDC, which some are dubbing ‘Britcoin,’ might work.
The taskforce will coordinate exploration of the objectives, use cases, opportunities and risks of a potential CBDC, as well as guide the evaluation of its design features, among other responsibilities.