China today has proposed a series of global rules for central bank cryptocurrencies. The rules also explain how crypto can be used around the world with information monitoring and sharing.
Global central banks are now working to develop digital currencies to modernize their financial systems however by eliminating the threat of existing issues in crypto and speeding up transactions.
Mu Changchun, director general of the PBOC’s digital currency institution, presented the new proposal at the Bank for International Settlement seminar. According to him interoperability should be activated between CBDC systems of different jurisdictions and exchanges.
He added that at the same time, the flow of information and funds should be streamlined to make it easier for regulators to monitor transactions.
The Central Bank of China (PBOC) has a goal of becoming the first central bank to issue a CBDC, internationalize the yuan and reduce reliance on a U.S. dollar -dominated payment system.
The CBDC, which has gained widespread acceptance in international trade and payments, was found to be threatening the U.S. dollar as a major currency.
