Bank of England and HM Treasury Announce Central Bank Digital Currency Taskforce04/19/2021The Bank of England and HM Treasury have announced a joint central bank digital currency Taskforce. The Taskforce will be chaired by Jon Cunliffe, Deputy Governor for Financial Stability at the Bank of England and Katharine Braddick, Director General of Financial Services at HM Treasury, with other U.K. authorities involved as and when required.
The Taskforce's primary function is to oversee investigations into a possible U.K. CBDC. At present, the U.K. has not yet decided whether to issue a CBDC. Key functions for the Taskforce will be:
- Coordinating the exploration of objectives, use cases and risks for a U.K. CBDC;
- Guiding the evaluation of the CBDC's design features;
- Supporting a rigorous assessment of the overall case for establishing a U.K. CBDC; and
- Monitoring international CBDC developments to ensure the U.K. remains ahead of the curve.
The BoE has also established two external engagement groups: (i) the CBDC Engagement Forum, which will provide input on non-technology aspects of CBDC, such as use cases, needs of CBDC users and data and privacy implications; and (ii) the CBDC Technology Forum, which will provide input on technology aspects of CBDC. Information on how to apply to be a member of the Forums can be found in the BoE's Terms of Reference for each Forum.
The BoE consulted on CBDC options in March 2020, seeking views on the opportunities, challenges and possible design of a future CBDC. The BoE has since announced that it will establish a CBDC unit to lead its internal exploration of CBDC.
View the BoE's statement on CBDC Taskforce.
View HM Treasury's Terms of Reference for the CBDC Taskforce.
View the BoE's statement on the CBDC Forums.
View the Terms of Reference for the CBDC Engagement Forum.
View the Terms of Reference for the CBDC Technology Forum.
View details of the Bank of England's Discussion Paper on Central Bank Digital Currency Options.
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