Hong Kong and Israel to Finalize their CBDCs Test
BIS, Hong Kong, and Israel's banks are testing a new digital money, rCBDC, aiming to improve and secure online payments for all.
The Bank for International Settlements (BIS), Hong Kong, and Israel's central banks have come together to test a new type of digital money called rCBDC. They want to make digital payments better for everyone.
They launched Project Sela to find out if a digital currency can be safe and easy to use. The report asked, “Can a digital currency be as good as cash but work even better than current payment systems?”
According to the findings, if the system is carefully built, it can be very safe and won't have many online threats: “If you design it right and follow online safety rules, the digital currency can be secure.”
This project adds to global efforts to create digital currencies, like Israel’s digital shekel and England’s digital pound. They even mentioned the plans for a digital euro in Europe.
The study shows that new technology can make money matters more clear because of "open access to financial info." For a successful rCBDC, many different people and companies need to be involved. This makes sure everyone's ideas are included.
The project focused on four main areas: policy, laws, online safety, and technology. They grouped experts in these fields to guide the six-month study.
