CBDC - NewNerve

The Promising Future of Cross-Border Payments: 7 Key Advancements

7May

By Ankit2 Comments

Blog, CBDC, Fintech, Payments

The Promising Future of Cross-Border Payments: 7 Key Advancements

In an increasingly interconnected world, cross-border payments play a vital role in facilitating international trade, remittances, and global economic transactions. The ability to transfer funds swiftly, securely, and cost-effectively across borders is crucial for businesses, individuals, and economies at large. However, cross-border payments have historically been associated with various challenges, including high costs, delays, and inefficiencies. In recent years, technological advancements and evolving regulatory frameworks have paved the way for transformative changes in the cross-border payment landscape. This article explores the advancements, challenges, and potential future developments in cross-border payments. Cross-border payments refer to financial transactions that involve ...

Private Digital Currencies vs. CBDC: A Safer Alternative

7May

By Ankit2 Comments

BFSI, CBDC, Fintech

Private Digital Currencies vs. CBDC: A Safer Alternative

Reserve Bank of India (RBI) Governor Shaktikanta Das recently emphasized the importance of Central Bank Digital Currency (CBDC) as a safer alternative to potentially dangerous private digital currencies. Let’s delve into the details. Digital Currencies: The Context Private digital currencies, commonly known as cryptocurrencies, are currently unregulated in India. The Indian government does not register crypto exchanges, and these assets operate in a borderless manner, requiring international collaboration. CBDC: A Safer Alternative Governor Das highlighted that CBDC can drive financial inclusion and provide a much safer alternative to private digital currencies. Here are the key points: Settlement Finality: CBDC offers the feature of settlement finality, which can substantially re...

Stablecoins: Promises vs. Reality: BIS report

23Apr

By Ankit1 Comment

CBDC, Fintech, Global BFSI, International Reports, Payments, Technology

Stablecoins: Promises vs. Reality: BIS report

Overview: The paper examines the evolution of the stablecoin market over the past decade and investigates whether stablecoins have truly lived up to their name in terms of stability. Stablecoins are a subcategory of cryptoassets designed to maintain a stable value relative to a specified peg. Key Findings: Classification of Stablecoins: The authors classify stablecoins into four distinct types: Those backed by fiat currency. Those backed by commodities. Those backed by other cryptoassets. Algorithmic stablecoins (not backed by any specific asset). Volatility and Parity: While stablecoins backed by fiat currency, commodities, or other cryptoassets have generally been less volatile than traditional cryptoassets, none of them has cons...

Central Bank Digital Currency : A Payments Perspective by World Bank, 2021

20Apr

By Ankit1 Comment

Payments, Banking, Blog, CBDC, International Reports, Review

Central Bank Digital Currency : A Payments Perspective by World Bank, 2021

The Guidance Report This document, titled "Central Bank Digital Currency: A Payments Perspective," provides insights and guidance on central bank digital currency (CBDC). It explores CBDC's role in the national payments system and analyzes its various aspects, including reasons for issuance, features, timing, infrastructure, and stakeholders. Lets understand this report in brief: Executive Summary The executive summary provides a concise overview of the document's key findings and policy recommendations. It highlights the importance of Central Bank Digital Currency (CBDC) as a transformative tool in the payments landscape and emphasizes the need for careful consideration of its objectives and potential consequences. Central Bank Digital Currency (CBDC): A Transformative Tool in t...