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The President of the Bank for International Settlements (BIS) has called on countries around the world to modernize legislation to legalize the introduction of central bank digital currencies.
Agustín Carstens broughtInternational Monetary Fund (IMF) figures suggest that around 80% of central banks either do not have the authority to issue their own digital currency or existing laws lack clarity on CBDCs. Carstens calls for this to be corrected: the launch and implementation of state-owned stablecoins must be legalized, and user privacy must be ensured.
“The public rightly demands suchforms of money that would meet their needs and expectations. Central banks can accommodate this request because they have already invested heavily in the development of CBDC, including studying the technical and operational characteristics. It is completely unacceptable if unclear or outdated legal regulations prevent the Central Bank from launching digital currencies. This work must be taken seriously, and quickly,” Carstens said.
The BIS President admitted:Due to differences in culture, traditions and laws, countries will approach the issue differently. According to Carstens, cooperation between central banks is crucial, otherwise there will be a fragmented structure in which different digital currencies will not be able to interact with each other.
BIS previously announced that it intends to develop new products using government digital currencies, as well as study the risks of decentralized finance (DeFi).