Timothy Lynn, deputy governor of the Bank of Canada and head of research at the bank’s financial technology and cryptocurrency division, claimed that the Canadian central bank’s digital currency may see the light today “sooner than expected.
Lynn made his remarks in a December 1 interview about the Bank of Canada's approach to digital payment systems.
According to Lin, the expected decline in cash transactions fueled by COVID-19 was occurring more quickly than the bank had previously expected. This could lead to the bank issuing a digital currency to the central bank sooner than it originally planned:
“In February, we identified two scenarios that we would like to prepare for. One of them was the disappearance of acceptance of money, and the second was the emergence of digital currencies [...] and I would say that in the past nine months we have seen developments that seem to be towards some of these things that will happen sooner than before. Expected. "
Recent statements by the Deputy Governor indicate that the Bank of Canada is changing its stance towards a central bank digital currency.
In October 2020, the Bank of Canada published a report outlining the main risks associated with the central bank's digital currency. The bank said it needs to "carefully consider how central bank digital currencies are collected and used" in order to ensure that the central bank's digital currency is a safe and effective method of payment.
0 Comments