Ninety Percent Central Banks Exploring CBDCs, As Per BIS Survey

In its most recent research, the Bank of International Settlements approximated that 9 out of 10 central banks explore how to release their own central bank digital currency. Apart from that, fifty percent of those financial institutions are presently developing such products or passing through experiments.

Bank of International Settlements, which is the international monetary institution, questioned eighty one central banks to determine their stance on CBDCs and how close they are to launching one. According to the results, ninety percent of the participants admitted they work towards introducing that product. Nearly half of the central banks are in the midst of developing or “running concrete experiments” on central bank digital currency.

BIS mentioned,

“Globally, more than two-thirds of central banks consider that they are likely to or might possibly issue a retail CBDC in either the short or medium term. Central banks consider CBDCs capable of alleviating key pain points such as the limited operating hours of current payment systems and the length of current transaction chains.”

In addition to CBDCs, the Bank of International Settlements touched upon stablecoins and digital assets in its study. The institution visualized that stablecoins backed by a single fiat currency might emerge as a payment method. At the same time, it was not so bullish on those pegged to commodities or virtual currencies like bitcoin.