The Central Banks are building!
Here is our pick of the 3 most important Stablecoin news stories during the week.
This week saw a number of announcements from Central Banks who are finished with the design phase and are now building different versions of a CBDC.
The Bank of Jamaica became the latest central bank to launch a live trial of central bank digital currency (CBDC), as it “minted” the first units of its CBDC on August 9. “At a short ceremony this morning, Bank of Jamaica minted Jamaica’s first batch of central bank digital currency,” the central bank said in a statement. Under the “watchful eyes” of finance minister Nigel Clarke, the central bank demonstrated the “intricate but efficient process” of issuing the digital currency.
Jamaica ‘mints’ first units of digital currency – FX Markets (fx-markets.com)
The Monetary Authority of Singapore (MAS) has shortlisted 15 “Global CBDC Challenge” participants to help build an in-house retail central bank digital currency (CBDC).
An announcement shared by the MAS shows that the finalists include six companies from Singapore, four from the United States, and one each from Australia, Barbados, Germany, France and Switzerland, of which only three winners will be selected to deploy a retail CBDC in Singapore.
Soon after the Singaporean central bank announced cash prizes for digital currency ideas back on June 28, the challenge reportedly saw the participation of over 300 fintech companies spread across more than 50 countries.
The global finalists include ANZ Banking Group Limited (Australia), Bitt (Barbados), Giesecke+Devrient advance52 GmbH (Germany), Criteo (France) and Soramitsu (Switzerland).
Locally, shortlisted Singaporean consortiums include Citibank N.A., HSBC Bank Limited and HSBC Holdings plc, IDEMIA, IOG Singapore Pte Ltd., Standard Chartered Bank and Xfers Pte. Ltd.
The United States-based companies are cLabs Inc., Consensys, Extolabs LLC and IBM.
Singapore central bank shortlists 15 companies to develop retail CBDC (cointelegraph.com)
The Bank of Ghana (BOG) announced it will begin in September 2021 with a pilot of its CBDC, the digital Cedi currency also known as the E-CEDI.
Ghana’s E-Cedi: What you need to know about the Digital Currency (ghanaweb.com)
So in summary, this week we saw three Central Banks (Jamaica, Singapore and Ghana) all announce real progress on the building of their CBDC.
Alan Scott is an expert in the FX market and has been working in the domain of stablecoins for many years.
We have a self imposed constraint of 3 news stories per week because we serve busy senior Fintech leaders who just want succinct and important information.
For context on stablecoins please read this introductory interview with Alan “How stablecoins will change our world” and read articles tagged stablecoin in our archives.
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