Bank of Canada discusses the pros and cons of central bank digital currency

Bank of Canada Governor Stephen Poloz and the bank's board of directors discussed the central bank's digital currency. It is reported that the Bank of Canada may consider launching a digital currency to help it fight the "direct threat" of cryptocurrency. The digital currency is endorsed by the central bank and has the convenience and security of electronic payment. At the same time, it enumerates the risks of the digital currency, and if it is not widely adopted, it will bring credibility risks to the central bank and may even be used for illegal activities. The central bank's digital currency will initially coexist with coins and paper money, and will eventually be completely replaced. The presentation presented two deployment options for digital currency: token based and account based. When asked if the bank would issue the digital currency, Bank of Canada spokesman Louise Egan said research on the subject was underway.