Cryptocurrency

Central bank of England states that national currency digital can’t be anonymous

Key facts:

The bank also considers the issue of digital coins by private initiatives.Bitcoin does not meet the requirements to be considered as money, according to your opinion.After issuing a document during the month of march, specialists of the Bank of England held a talk where they discussed the opportunities and challenges of issuing a digital currency into national webinar private.The representatives of the Bank of England have reservations with regard to the nature monetary of Bitcoin and are firm in the fact that a digital currency national should not be anonymous, commented on the 7th of April based on the preliminary document on the subject.The panel was composed of Tom Mutton (Director of Fintech), Ben Dyson (leader of the Digital Currencies and National Criptoactivos) and Manisha Patel (senior Analyst team cryptocurrencies). Dyson stated that the digital coins at national level should be designed on the basis of the compliance of the legal regulations of privacy, as well as the users must have knowledge of what data they share, with whom, and with what frequency; most national currencies should not be fully anonymous.In addition to that comment, consider that Bitcoin and other cryptocurrencies do not meet the necessary characteristics to be considered money, and praises private projects of systems of payments or the issuance of certain criptoactivos that you think could work better as money. Along with the idea, also brought up, that this system of national currency, digital, can make use of private companies to falter, they also say that they should not be left in for full this task, due to failures in the payment systems existing, which requires the supervision of the public sector in meeting the needs of the client and protect you.”We have been thinking about how will be the payment systems that will be needed in the future and what will be, so that we have a great motivation to do all of this at this time,” he said.For his part, in regard to the comment about the nature monetary of Bitcoin and other cryptocurrencies, Tom Mutton stated that these do not meet the necessary requirements to function as money, and which sustains a major interest in the future in the stable currencies or stablecoins and that however, this would have to adhere to the standards that the bank dictates about what is or is not money, “which is generally electronic money sent by reliable institutions or tickets and cash,” he says.Likewise, do not consider that cryptocurrencies are a threat to the british financial system, but to the investors who participate in them, position that is held by the Committee of Financial Policies from the year 2018 when issued such a document. Since they seem to be consistent in this position, as both your old address executive like the present have been manifested against the cryptocurrencies, as we have reported in Breaking News.It should be noted that this discussion on the issuance of a national currency, referred mainly to implement it in the retail markets, while the wholesale markets, industrial, or supply chains, may also benefit, although they represent different challenges, and for now would not be a priority.So, make it clear that the Bank of England is pursuing this sector with other technologies or methods, such as the System of Real Time Gross Settlement (RTGS) used for “Real Time Gross Settlement”), where transactions are done bank to bank in real time, in a scenario of commercial exchanges at the international level.The vision of the Central Bank of England is that the issuance and implementation of digital currencies private should also be investigated, around the role that, for example, play companies such as Facebook prepares the launch of a Pound without even having the approval of the central banks of the world.Also in the webinar say that, although not planned to issue a criptomoneda, yes could be interested in using blockchain or some of the tools of the Technology of Accounting Distributed (DLT), as the contracts are smart. In a survey conducted among the participants of the webinar, where the question is about which element of the DLT would be of greater benefit to this national currency digital, was the winner the option of its programmability (33%) over other options such as decentralisation (28%), cryptography (15%) and the intercommunication of data (16%).It is callable however, they consider the private sector as a fundamental actor in the development of this national currency digital and are even open to the issuance of coins with private pre-regulation, which could facilitate the decentralization of the relative economy.Until the 12 of June of this year, you will receive responses to the comments made in this transmission web.

About the author

Caroline W.

Caroline is passionate about learning languages, cultures and the Internet. She has years of experience working at international online advertising projects. Growing interested in Bitcoin and cryptocurrencies in late 2018, she joined CurrencyMarket24 as a writer.

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