Many countries have started to take steps in this regard with the advent of blockchain technology. Many central banks expressing concerns about the US dollar are increasing their efforts on central bank digital currency (CBDC) studies day by day. Recently, representatives of the French Central Bank, Banque de France, announced that they have set a global perspective on this issue and presented this development as the foundation of the international monetary system.
Denis Beau, the Deputy Chairman of Banque de France, explained the central bank’s digital currency goals in a statement on October 3rd:
“To establish a new international monetary system as a catalyst for improving cross-border payments.”
Deputy Chairman Beau also emphasized that the inclusion of CBDCs in the international monetary system should be addressed from the very beginning, not at the final stage. Beau provided several ways for the country to progress in its CBDC journey. One of these ways is the collaboration of common standards between previous projects and existing systems, and the development of an ecosystem where these systems can work together.
The second way is the consolidation of regional or global CBDC platforms supported by the International Monetary Fund (IMF) and the Bank for International Settlements (BIS) under a single umbrella. This will standardize the systems with features such as exchange and payment against payment between these platforms in the transactions to be carried out.
Beau cited the Mariana Project, which explores automated market maker (AMM) capabilities, as an example of the second roadmap. The project, which includes Banque de France, the Monetary Authority of Singapore, and the Swiss National Bank, successfully concluded at the end of September.
The Deputy Chairman also discussed tokenization that could occur in the financial sector alongside all these options. He also stated that the public sector needs to support the private sector more in order to limit risks and enable the full potential of blockchain technology.
According to Beau, tokenized assets, especially the availability of central bank money, are not competitors but rather a wealth for the markets.