November 2021

• America's Crypto Conundrum (November 30, 2021)

  The Biden administration should swiftly establish a digital currency while retaining control over monetary policy, financial stability, and illicit finance. Private cryptocurrencies can boast cheaper and faster transactions as well as new decentralized business models, but they could undermine government functions. Go to Article.

• The Technopolar Moment (November 30, 2021)

  Because of their geopolitical and domestic influence, large tech companies (Big Tech) should be thought of as nation-states. Their influence comes from operating in an ever-growing digital space and from producing both digital and physical products required to society. Further, governmental bodies struggle to curtail Big Tech’s power. Go to Article.

• Tanzania Preps to Roll Out Its Very Own CBDC (November 27, 2021)

  Not wanting to be left behind as CBDCs garner worldwide fascination, Tanzania will research and develop its own digital currency. Nigeria has already released its own CBDC, the eNaira. Private crypto companies are also moving into Africa. Go to Article.

• FOMO Drives Tanzanian Central Bank to Plan Own Digital Currency (November 26, 2021)

  While still wary of digital currencies, Tanzania plans to release its own CBDC. Tanzania central bank Governor Florens Luoga stated that this initiative is to ensure that Tanzania is not left behind in the worldwide trend towards digital currencies. Luoga also says that Tanzania plans to strengthen its central bank in general. Go to Article.

• Japanese Megabanks Join Consortium Launching Yen-Based Digital Currency (November 24, 2021)

  A consortium of about 70 Japanese companies will trial and launch a new yen-based digital currency, DCJPY. The Bank of Japan has also begun developing a CBDC, with its framework aligning with the deposit-backed infrastructure being developed by the consortium. Go to Article.

• Palau Partners With Ripple on Climate-Friendly National Digital Currency (November 24, 2021)

  Digital payment network Ripple will partner with the Republic of Palau to develop a dollar-backed national stablecoin. Hopefully, this digital currency will ease cross-border payments and give Palau citizens greater financial access. Ripple’s XRP Ledger is also far more climate-friendly than other blockchains. Go to Article.

• Payments App KurePay to Suspend Services in Nigeria Next Year Amid Crypto Crackdown (November 24, 2021)

  KurePay, a Nigerian payment app, plans to terminate its services in Nigeria starting early 2022. Kurepay CEO Abikure Wisdom Tega has expressed dissatisfaction with Nigeria’s unfriendly attitude towards private crypto companies, an attitude shared by many other countries. Go to Article.

• 4 Key Cybersecurity Threats to New Central Bank Digital Currencies (November 20, 2021)

  As CBDCs increase in uptake, countries must be aware of potential risks to user security. These risks could include physical or virtual credential theft, central bank/government privilege abuse, counterfeiting by “double-spending”, and issues with quantum-computing. Cybersecurity must be a priority when implementing CBDCs. Go to Article.

• Digital Currencies Won't Impact US Sanctions, Treasury Exec Says (November 19, 2021)

  According to US Deputy Treasury Secretary Wally Adeyemo, the US dollar will remain dominant despite new CBDCs. US economic sanctions (such as those against Russia) won’t be made ineffectual by digital currencies, Adeyemo says, because America’s markets are still superior. Go to Article.

• Bank of Russia Plans to Take Fees for CBDC Transactions: Report (November 18, 2021)

  Transactions using Russia’s yet-to-be released CBDC will require a fee, though Russia plans to charge less than with wire transfers or Russia’s Faster Payments System (FPS). Russia will soon launch a pilot test for their digital ruble, a currency that is intended to replace unstable private cryptocurrencies. Go to Article.

• Peru to Partner with India, HK and Singapore Central Bank on a CBDC (November 18, 2021)

  The Central Reserve Bank of Peru will partner with India, Singapore, and Hong Kong to develop a CBDC. Many other countries such as El Salvador, Mexico, Brazil, and the Bahamas are exploring the use of digital currencies as well. Peru’s partners are relatively advanced in their trials of CBDCs. Go to Article.

• US is Not Moving Fast Enough to Develop a CBDC, Says Former CFTC Chair (November 17, 2021)

  Tim Massad, former chair of the Commodity Futures Trading Commission, states that the US is too slow on the uptake of a CBDC that could improve inefficient payments systems. Stablecoins are also an adequate option but need regulations. Go to Article.

• Chinese Retail Giant JD Accepts Digital Yuan Payments for Singles Day (November 11, 2021)

  During a Singles Day promotional period, China’s largest online retailer JD.com accepted digital yuan (e-CNY) payments on their app. JD.com was the first Chinese e-commerce company to accept digital yuan and debuted digital yuan salary payments in April 2021. to Article.

• Zimbabwe Minister Signals CBDC Interest Amid Bitcoin Adoption Rumors (November 10, 2021)

  Despite reports that the Zimbabwe government was considering partnering with private sector cryptocurrencies, Zimbabwe’s minister of information Monica Mutsvangwa clarifies that the country is instead exploring a CBDC. This follows a growing trend of CBDC interest in Africa, with Ghana also recently experimenting with a possible e-cedi. Go to Article.

• Russia to Change Laws for Digital Ruble, While Central Bank Mulls 2022 Prototype (November 9, 2021)

  The digital ruble prototype will be trialed in several stages and examined by several financial firms before Russia determines whether it will be released. Russian lawmakers prepare for its potential adaptation by planning to adjust federal laws and tax codes. Go to Article.

• PBoC Governor Says Digital Yuan to be More Privacy-Enhanced Than Payment Apps (November 9, 2021)

  People’s Bank of China (PBoC) Governor Yi Gang promises that the digital yuan will be more privacy-focused than many existing private cryptocurrencies, assuring that the PBoC will not collect and share personal data unless legally required. Gang also teased plans for cross-border expansion of the digital yuan. Go to Article.

• Bank of England and UK Treasury to Assess Case for a CBDC Next Year (November 9, 2021)

  The Bank of England and the U.K. Treasury will initiate a consultation in 2022 to explore possible designs, benefits, and implications of a digital pound. If the consultation decides to move forward with a CBDC, the currency will be released in the second half of the decade and wouldn’t replace cash and bank deposits. Go to Article.

• Singapore Examines Central Bank Digital Dollar for Retail (November 8, 2021)

  Singapore has initiated “Project Orchid”, which will explore the technological infrastructure needed to circulate a digital Singapore dollar in partnership with the private sector. While likely not benefiting financial-inclusion and possible risking monetary and financial stability, the CBDC would help with cross-border payments. Go to Article.

• Bank of China Reveals Machine That Converts Foreign Currency to Digital Yuan: Report (November 8, 2021)

  Likely in preparation for the worldwide release of the digital yuan at the 2022 Beijing Winter Olympics, China has showcased a machine that can convert 17 foreign currencies into digital yuan without a bank account. The CBDC has garnered widespread interest and has been used in billions worth of transactions. Go to Article.

• Over 140 Million People Have Digital Yuan Accounts, Says PBoC Head (November 3, 2021)

  Intended to replace cash for day-to-day transactions, the digital yuan (e-CNY) is growing in popularity with 140 million individual digital yuan accounts and 10 million corporate accounts. Trials for the digital yuan are continuing in various regions and cities. Go to Article.

• China's CBDC Has Been Used for $9.7B of Transactions (November 3, 2021)

  According to a People’s Bank of China (PBOC) official, 140 million people have opened wallets for the digital yuan (e-CNY), and the currency has been used to conduct 62 billion yuan ($9.7$ billion) of transactions (a dramatic increase from June 2021). Additionally, millions of merchant and corporate accounts have been created as well. Go to Article.

• JPMorgan Report Says CBDCs Can Save Firms $100B a Year in Cross-Border Costs (November 3)

  According to a report published by JPMorgan, global corporations could save about $120 billion in transaction costs when making cross-border wholesale payments, as well as decrease settlement times and clear up payment status. While there have been several wholesale banking initiatives, JPMorgan recommends the creation of a multiple central bank digital currency (mCBDC) network. Go to Article.