IBM report: multinational central banks consider issuing digital currency, available in the next 5 years

Babbitt News, the latest survey released by IBM and the International Monetary and Financial Institution (OMFIF), shows that the first central bank digital currency (CBDC) is expected to be released in the next five years. The report shows that many central bank decision makers around the world are seriously considering the development and distribution of central bank digital currency (CBDC), there may be consumer-oriented CBDC in the next five years, and consumer-oriented CBDC may need some form of public and private Cooperation. IBM and OMFIF also concluded from the survey that the first CBDC is expected to emerge from a small economy over the next five years and respond to a specific policy goal with a clear purpose. The survey was conducted between July and September 2019 and lasted for three months. The survey involved central bank officials in 13 advanced economies and 10 emerging markets. According to the survey, 73% of respondents expressed support for CBDC. They believe that in any case, retail CBDC should be offered under all payment types currently in use of cash. They acknowledge that in some cases, CBDC will be a good alternative to cash. However, more than half of the respondents said they are very worried that digital currencies like Libra could seriously damage monetary sovereignty. In addition, 82% of respondents indicated that the most worrying financial stability issue during the implementation of CBDC was the risk of “crowding” of digital banks.