Hi everyone
I want to understand the meaning inside the brakets.
I have been reading an interesting report where the author compares the features two taxonomies of new forms of currency.
So he was listing down the features of Cryptocurrency, as defined it the organisation called CPMI. In one of the features he said: ( Not the liability of anyone ).
He then started listing down the central bank digital currency and in one of the features he said ( Bank Account Money ).
What do these two terms mean?
ِAlso here is another issue I am facing :
While it may look odd for a central bank to issue a cryptocurrency that provides
anonymity, this is precisely what it does with physical currency, ie cash. Perhaps a key
difference is that, with a retail CBCC, the provision of anonymity becomes a conscious
decision. It is worth recalling that the anonymity properties of cash are likely to have
emerged out of convenience or historical happenstance rather than intent.
What does mean : While it may look odd for a central bank to issue a cryptocurrency that provides
anonymity, this is precisely what it does with physical currency, ie cash.
What does mean : It is worth recalling that the anonymity properties of cash are likely to ( have
emerged out of convenience or historical happenstance rather than intent ).
If you did not get what I mean you can refer to the report here:
https://www.bis.org/publ/qtrpdf/r_qt1709f.htm
You will the terms I am asking for inside the Graph 2.
Thank you
Bank account money means your money is in the bank.
Not the liability of anyone means no third party between you and your bitcoins - I would add if you use a wallet. If you use a bitcoin account that makes a third party.
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Thank you Combienemarins That really solved the puzzle I have been thinking of.
Also here is another issue I am facing :
While it may look odd for a central bank to issue a cryptocurrency that provides
anonymity, this is precisely what it does with physical currency, ie cash. Perhaps a key
difference is that, with a retail CBCC, the provision of anonymity becomes a conscious
decision. It is worth recalling that the anonymity properties of cash are likely to have
emerged out of convenience or historical happenstance rather than intent.
What does mean While it may look odd for a central bank to issue a cryptocurrency that provides
anonymity, this is precisely what it does with physical currency, ie cash.
It is worth recalling that the anonymity properties of cash are likely to have
emerged out of convenience or historical happenstance rather than intent.
Some people think it would be strange for central banks to work with cryptocurrencies because of anonymity but the same anonymity already exists in physical money like cash.
Cash randomly or for the sake of easiness became anonymous but cash was not created for the anonymity.
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Thank you my friend. You helped me a lot! Very clear explanation!
There is another one if you do not mind:
( Dinero electrónico is a mobile payment service in Ecuador where the central bank provides the underlying
accounts to the public ).
What does mean the underlying accounts to the public?
It means you need an account to play within this payment system.