BIS-Central bank cryptocurrencies

[ELI85]

17 September 2017

"New cryptocurrencies are emerging almost daily, and many interested parties are wondering whether central banks should issue their own versions. But what might central bank cryptocurrencies (CBCCs) look like and would they be useful?"

https://www.bis.org/publ/qtrpdf/r_qt1709f.htm
- H/T Zerohedge

[1715622678]

1715622678

[Hydrogen]

Rolling out a crypto currency would kill banks wire transfer business.

Wire transfers are slower and much more expensive than crypto transfers. The only thing stopping banks wire transfer customers from jumping ship and switching to crypto is the general public being unaware of crypto's superiority in those areas.

Banks which prefer centralization and schemes of centralized control (hence the term "central banks") aren't likely to have the correct mentality or mindset to run a decentralized crypto well.

Its probably a bad idea for banks to roll out crypto. Of course, bankers typically focusing on short term gains, to the neglect of long term thinking it makes sense they would find appeal in the concept of the short term gain in crypto, to the long term malus of killing their own wire transfer business in the process.