Taiwan’s central bank has completed a feasibility study on wholesale central bank digital currency (CBDC) and is considering its introduction. Deputy Governor Mei-lie Chu stated that the central bank is seeking feedback from businesses and academics and will continue to work on platform design.
In a speech at a banking event, Chu discussed “Banking 4.0,” which involves integrating artificial intelligence and advanced mobile and digital technology into banking services. She dedicated a significant portion of her presentation to CBDC, citing the advantages of CBDCs and tokenization of real-world assets.
Chu mentioned the use of unified ledger technology, which utilizes a single ledger in a partitioned data environment to achieve interoperability among systems. Taiwan has been conducting CBDC research since 2020 and has already tested a retail CBDC in a pilot project with consumers and five commercial banks.
However, there are still outstanding issues in Taiwan’s CBDC research, such as bank disintermediation and interoperability with other payment systems. The central bank is taking a cautious approach to further CBDC development and has not set a timeline for a decision.
In addition, Fubon Bank in Taiwan has participated in a reverse mortgage pilot project using Hong Kong’s e-HKD CBDC, in collaboration with Ripple and the Hong Kong Monetary Authority. Fubon Bank has also integrated China’s digital yuan, known as the e-CNY, into its platform.
Overall, Taiwan’s central bank is actively exploring the potential of CBDCs and is seeking input from various stakeholders. While progress has been made in the development of a retail CBDC, there are still challenges to address before a final decision is made.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Asia |
| Countries | ðŸ‡ðŸ‡° 🇨🇳 |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Mei-lie Chu, John Kiff |
| Companies | Hong Kong Monetary Authority, Taiwan’s central bank, China’s digital yuan (e-CNY), Palau Ministry of Finance, Fubon Bank, Ripple, Bank for International Settlements, Financial Supervisory Commission of Taiwan |
| Currencies | Hong Kong Dollar, Chinese Yuan |
| Securities | None |
