HM Treasury and BoE announced the joint creation of a Central Bank Digital Currency (CBDC) Taskforce to coordinate the exploration of a potential central bank digital currency in UK. Additionally, BoE announced that it will establish a CBDC Unit to lead its internal exploration around CBDC, along with its external engagement on CBDC, including with the other UK and international authorities. BoE also announced the creation of a CBDC Engagement Forum to engage senior stakeholders and gather strategic input on non-technology aspects of CBDC as well as the creation of a CBDC Technology Forum to engage stakeholders and gather input on technology aspects of CBDC.
The CBDC Taskforce of HM Treasury and BoE will ensure a strategic approach and promote close coordination among the UK authorities as they explore development of a digital currency. The Taskforce will be co-chaired by Jon Cunliffe, the BoE Deputy Governor, and Katharine Braddick, the HM Treasury Director General of Financial Services. The Taskforce aims to ensure that a strategic approach is adopted between the UK authorities as they explore CBDC and it will:
- Coordinate exploration of the objectives, use cases, opportunities, and risks of a potential UK CBDC
- Guide evaluation of the design features a CBDC must display to achieve the desired goals
- Support a rigorous, coherent, and comprehensive assessment of the overall case for a UK CBDC
- Monitor international CBDC developments to ensure the UK remains at the forefront of global innovation
Keywords: Europe, UK, Banking, Securities, CBDC, CBDC Taskforce, Fintech, Digital Currency, Regtech, HM Treasury, BoE
Previous ArticleEC Sets Out Standards for MREL Reporting by Competent Authorities
The European Banking Authority (EBA) published the final guidelines on the monitoring of the threshold and other procedural aspects on the establishment of intermediate parent undertakings in European Union (EU), as laid down in the Capital Requirements Directive (CRD).
In a recent Market Notice, the Bank of England (BoE) confirmed that green gilts will have equivalent eligibility to existing gilts in its market operations.
The Financial Conduct Authority (FCA) published the policy statement PS21/9 on implementation of the Investment Firms Prudential Regime.
The European Banking Authority (EBA) proposed regulatory technical standards that set out criteria for identifying shadow banking entities for the purpose of reporting large exposures.
The Board of the International Organization of Securities Commissions (IOSCO) proposed a set of recommendations on the environmental, social, and governance (ESG) ratings and data providers.
The European Securities and Markets Authority (ESMA) published recommendations from the Working Group on Euro Risk-Free Rates (RFR) on the switch to risk-free rates in the interdealer market.
The European Commission (EC) announced plans to defer the application of 13 regulatory technical standards under the Sustainable Finance Disclosure Regulation (2019/2088) by six months, from January 01, 2022 to July 01, 2022.
The European Insurance and Occupational Pensions Authority (EIOPA) proposed to amend the supervisory statement on supervision of run-off undertakings that are subject to Solvency II regulation.
The Bank of England (BoE) published a consultation paper on approach to setting minimum requirement for own funds and eligible liabilities (MREL), an operational guide on executing bail-in, and a statement from the Deputy Governor Dave Ramsden.
The European Banking Authority (EBA) is seeking preliminary input on standardization of the proportionality assessment methodology for credit institutions and investment firms.