India Will Reveal New Central Bank Digital Currency Model by The End of The Year

The RBI (Reserve Bank of India) announces plans to reveal the country’s first-ever central bank digital currency (CBDC) model. According to Deputy Governor T. Rabi Sankar, this is expected to happen by the end of the year. This news is just part of the recent worldwide crypto regulations in a list of countries. More specifically, according to one research, up to 81 countries are currently pondering similar solutions. Consequently, that makes for more than 90% of the world GDP.

Hence, it should be a surprise as to why India is thinking about doing the same. Especially with the magnitude of that market. As a result, when talking to the press Mr. Sankar said the following:

These are extremely evolving technologies and business choices that one has to make, and therefore it’s difficult to put a date, but we should be able to come up with a model in the near future, probably by the end of this year. We are evaluating the issue of scope, technology, distribution and validation mechanism, etc.T. Rabi Sankar | Deputy Governor - Reserve Bank of India

Moreover, back in July, Mr. Sankar disclosed that India’s central bank is in the process of developing a ‘phased implementation strategy. He furthermore went on by saying:

We are also examining use cases that could be implemented with little or no disruption to India’s banking or monetary systems.T. Rabi Sankar | Deputy Governor - Reserve Bank of India

It seems like CBDCs enjoy support from some of the biggest banking institutions in the world. The World Bank, The Bank of International Settlements (BIS), and the International Monetary Fund (IMF) are all pro this new era of centralization. According to bank officials, CBDs have the potential to enhance the efficiency of cross-border payments, as long as countries work together. All of this support pretty much prompted India to reveal its very own CBD model.

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