TechBriefly
  • Tech
  • Business
  • Science
  • Geek
  • How to
  • About
    • About Tech Briefly
    • Terms and Conditions
    • Privacy Policy
    • Contact Us
  • Languages
    • 中文 (Chinese)
    • Dansk
    • Deutsch
    • Español
    • English
    • Français
    • Nederlands
    • Italiano
    • 日本语 (Japanese)
    • 한국인 (Korean)
    • Norsk
    • Polski
    • Português
    • Pусский (Russian)
    • Suomalainen
    • Svenska
No Result
View All Result
TechBriefly
No Result
View All Result
Home Crypto

Bank of America: Stablecoin adoption and CBDC are ‘inevitable’

Bank of America analysts stated in a recent note that a CBDC would be different from existing digital currencies because it would be the responsibility of the Federal Reserve, not a commercial bank.

by Eray Eliaçık
25/01/2022
in Crypto
Reading Time: 2 mins read
Bank of America: Stablecoin adoption and CBDC are ‘inevitable’
Share on FacebookShare on Twitter

Bank of America said that the United States will soon establish its own central bank digital currency (CBDC).

According to a Bloomberg report, Bank of America crypto strategists Andrew Moss and Alkesh Shah wrote in a Jan. 24 note that CBDCs “are an inevitable evolution of today’s electronic currencies.” The analysts stated:

“We expect stablecoin adoption and use for payments to increase significantly over the next several years as financial institutions explore digital asset custody and trading solutions and as payments companies incorporate blockchain technology into their platforms.”

Meanwhile, the Federal Reserve Bank of San Francisco released a Jan. 20 article entitled “Money and Payments: The U.S. Dollar in the Age of Digital Transformation” that assessed the benefits and drawbacks of a CBDC being implemented in the United States (FRB).

Bank of America: Stablecoin adoption and CBDC are ‘inevitable’
Bank of America: Stablecoin adoption and CBDC are ‘inevitable’

CBDC: Safer and faster

The Payments Strategy Board also considered whether a CBDC might “improve the safe and efficient domestic payments system” as “the payments system continues to develop,” resulting in “faster payment options between countries.”

Meanwhile, Shah and Moss said that the use of private company-issued digital currencies is likely to expand. The liability for existing types of digital currency, such as internet bank accounts and payment applications, now lies with private companies, such as commercial banks.

However, because the CBDC would be held by a central bank such as the Federal Reserve, it would be distinct in this regard, according to the FRB.

The Fed also addressed common concerns including maintaining financial stability, safeguarding user privacy, and combating illicit transactions. These issues have been put on the table for public debate until May 20.

Bank of America: Stablecoin adoption and CBDC are ‘inevitable’
Bank of America: Stablecoin adoption and CBDC are ‘inevitable’
SEE ALSO
What are stablecoins or stable cryptocurrencies?

What is CBDC?

A CBDC is a digital version of a country’s fiat currency, such as the US dollar. They began to receive attention during 2020, when The Bahamas launched the world’s first CBDC, the “Sand Dollar.”

Meanwhile, China’s central bank is working on a digital yuan wallet as it pushes forward with its plan to introduce a digital currency. Sweden’s central bank completed the first stage of its “e-krona” digital currency test in April 2021.

 

Tags: americaBank of AmericaCBDCChinacryptodigital transformationdigital walletdigital yuan walletDollare-kronaentral bank digital currencyfeaturedfrbpayments systemSand DollarStablecoinStablecoin adoptionswedenUSAwhatWhat is CBDCWhen

Related Posts

Dogecoin founder claims 95% of cryptos are fraudulent

Dogecoin founder claims 95% of cryptos are fraudulent

Singapore High Court blocks NFT sale because of disputed ownership

Singapore High Court blocks NFT sale because of disputed ownership

The best DeFi Stake Tokens of 2022

The best DeFi Stake Tokens of 2022

What is IDEX crypto platform and how does it work?

What is IDEX crypto platform and how does it work?

POPULAR ARTICLES

Leaked: Bel Veth LoL’s new warrior

Analysts predict a historic Apple quarter

Valve and five other companies fined millions by EU for geo-blocking

Intel brings back Glenn Hinton, a very important engineer

Plex wants to combine the contents of Netflix, Amazon, Disney and others

Bel’Veth League of Legends abilities: Gameplay explained

Dell XPS 13 Plus review

Who is Hyper NFT?

LG is considering leaving the mobile market

Microsoft .NET MAUI release candidate is now live

LATEST

How does the upcoming Snapchat Family Center work?
How to

How does the upcoming Snapchat Family Center work?

A League of Legends slang: FF meaning in LoL
Geek

A League of Legends slang: FF meaning in LoL

WhatsApp will end support for iOS 10 and iOS 11 on October 24
Software

WhatsApp will end support for iOS 10 and iOS 11 on October 24

How to send WhatsApp message without saving number?
How to

How to send WhatsApp message without saving number?

How to use big eye filter on TikTok?
How to

How to use big eye filter on TikTok?

POPULAR GUIDES

How does the upcoming Snapchat Family Center work?

How does the upcoming Snapchat Family Center work?

How to send WhatsApp message without saving number?

How to send WhatsApp message without saving number?

How to use big eye filter on TikTok?

How to use big eye filter on TikTok?

How to rank on Pinterest in 2022?

How to rank on Pinterest in 2022?

How to record a meeting in Google Meet?

How to record a meeting in Google Meet?

TechBriefly

© 2021 TechBriefly is a Linkmedya brand.

  • About Tech Briefly
  • Privacy Policy
  • Terms and Conditions
  • Contact Us
  • Languages

Follow Us

No Result
View All Result
  • Tech
  • Business
  • Science
  • Geek
  • How to
  • About
    • About Tech Briefly
    • Terms and Conditions
    • Privacy Policy
    • Contact Us
  • Languages
    • 中文 (Chinese)
    • Dansk
    • Deutsch
    • Español
    • English
    • Français
    • Nederlands
    • Italiano
    • 日本语 (Japanese)
    • 한국인 (Korean)
    • Norsk
    • Polski
    • Português
    • Pусский (Russian)
    • Suomalainen
    • Svenska