Central Bank of Barbados Proposes Bitcoin for Reserve Currency Basket
Central banks in every country always keep a certain level of financial reserves. In most cases, these reserves will consist of foreign fiat currencies, as well as precious metals, such as gold and silver. But the Central Bank of Barbados is looking at whether or not digital currencies should become a part of their reserve holdings portfolio. Due to the....
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A new working paper titled "Should Cryptocurrencies Be Included in the Portfolio of International Reserves Held by the Central Bank of Barbados" suggests the Barbadian Central Bank to hold a small portion of Bitcoin as a part of its foreign currency reserves. The paper is authored by two economists - Winston Moore and Jeremy Stephen who previous worked at the Central Bank of Barbados and currently lecture at the University of West Indies. The complete working paper can be read or downloaded here. [PDF]. The paper notes that Barbados maintains a peg against the US dollar, making it....
Bitcoin could be part of a basket of reserve alternatives to the U.S. dollar, according to Stephen Harper. Stephen Harper, who served as prime minister of Canada for nine years, says there may be a place for Bitcoin and central bank digital currencies as part of a basket of reserve currencies to replace the dollar.In an interview with investment service Cambridge House’s Jay Martin at the Vancouver Resource Investment Conference today, Harper said the possibility of the U.S. dollar being replaced could only come from a large currency like the Euro or Chinese yuan. He expressed his doubts....
Two Barbadian economists have concluded that the country's central bank may want to consider holding a small amount of bitcoin as part of its portfolio of foreign reserves. In a new working paper, the authors examine the potential role cryptocurrencies could play as part of the portfolio of external assets held by a central bank, using Barbados as a case study. The paper reads: "Within recent years, the proportion of digital transactions done using digital currencies has grown significantly. As a result, it is possible that digital currency could become a key currency for settling....
On 1st October 2016, the Chinese Yuan became the world's 5th reserve currency. What does it take to become one and can Bitcoin get there? What are reserve currencies? The term reserve currencies today denotes currencies which form part of the International Monetary Fund's SDR (Special Drawing Rights) basket. SDR was created by the IMF in 1969 as a reserve asset, as there was a shortage of existing reserve assets (gold and the US Dollar) to support the expansion of world trade. The currencies which form part of the SDR basket are the US Dollar, Euro, Japanese Yen, Pound Sterling and from....
India’s central bank, the Reserve Bank of India (RBI), is working on a “phased implementation of a central bank digital currency (CBDC) in both wholesale and retail segments.” Necessary amendments have been made to the RBI Act, 1934 to allow the central bank to pilot and issue a digital currency.
India’s Central Bank Digital Currency to Be Implemented in Phases
A Reserve Bank of India (RBI) official and the minister of state in the Ministry of Finance have independently provided an update on the central bank’s progress in issuing a....