The Hong Kong Financial Authority has dedicated to rolling out a retail central financial institution digital forex (CBDC) after a constructive response to consultations scoping out the technical and coverage views.
In complete, 75 responses have been obtained throughout the session. General, respondents have been discovered to be supportive of the initiative and consider that e-HKD has the potential to make funds simpler in a future digital economic system.
On the identical time, respondents additionally identified the necessity to additional look at points reminiscent of privateness safety, authorized issues, and use instances.
Considering the findings, the HKMA has outlined a three-rail strategy, which can pave the best way for potential implementation of e-HKD sooner or later.
Rnunning in parallel, the primary two rails will lay the know-how and authorized foundations, and take a deep dive into use instances in addition to utility, implementation, and design points. The HKMA says it would additionally conduct a sequence of pilots in shut collaboration with varied stakeholders to achieve precise expertise.
Rail three will set the timeline for lunching e-HKD, consolidating the outcomes of the sooner preparatory wok.
Eddie Yue, chief govt of the HKMA, feedback: “The 2 rounds of market session have registered widespread help for the e-HKD initiative. We welcome the constructive suggestions obtained and agreed with the respondents the necessity to take a deep dive into points reminiscent of privateness safety and use instances. As Hong Kong’s central banking establishment, we are going to be sure that Hong Kong continues to play a number one position within the international monetary panorama by getting ourselves prepared as finest we are able to by way of CBDC and by offering the correct soil for rising modern concepts.”