Bank of Canada Keeping 'Close Eye' on Digital Currencies
The Bank of Canada is "keeping a close eye" on risks posed by new forms of electronic money, according to a new statement released Thursday. The statement is based on remarks made by the bank's senior deputy governor Carolyn Wilkins at a university event in Waterloo, Ontario. During the event Wilkins discussed two different types of electronic money: those denominated in national currencies and backed by their issuer and cryptocurrencies with no issuer, such as bitcoin. Wilkins noted the potential risks and benefits of digital currencies, concluding that bitcoin remains outside the....
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The Bank of Canada is looking into possibly issuing its digital currency like Bitcoin, according to a senior official in the bank, CBC News reports. Carolyn Wilkins, the bank's senior deputy governor, said so in a keynote address entitled, "Money in a Digital World" at Wilfrid Laurier University in Waterloo, her alma mater. At the same time, she said that the bank is keeping a close eye on both benefits and drawbacks of digital currency. Wilkins says Bitcoin and other digital currencies have a long way to go before they can truly circumvent central banks, since the daily number of....
The Bank of Canada has been heavily researching blockchain technology, Bitcoin, and the use of digital currencies. Just recently, a team of central bank researchers published a report called “Canadian Bank Notes and Dominion Notes: Lessons for Digital Currencies” examining issues they believe revolve around private and public cryptocurrencies. Is....
The Bank of Canada has released a report that uses a prediction model to predict volatility of bitcoin and other digital currencies. Read more... Researchers from the Bank of Canada have developed a model to predict the volatility of cryptocurrencies like Bitcoin and other altcoins. The adoption of Bitcoin and other digital currencies has been slower than expected. The volatile nature of Bitcoin is one of the reasons for slower adoption. People are worried about the possibility of a downward fluctuation, which may result in huge losses. While it is necessary to rein in Bitcoin’s volatility....
Canada is one of the first countries to approve a Bitcoin ETF and is the fourth-largest nation in terms of hash rate. Cryptocurrencies like Bitcoin (BTC) do not pose any significant risk to the financial system at their current level of adoption, according to Bank of Canada deputy governor Paul Beaudry.Beaudry spoke about the risks to the stability of the Canadian financial system at the Ontario Securities Commission Dialogue 2021 on Tuesda.When asked whether cryptocurrencies are a risk, the deputy governor responded that the Bank of Canada doesn’t think that crypto is “developing in a way....
The Bank of Canada has released a new document outlining some of their views on bitcoin (and digital currency). Perhaps most interesting, the Canadian Central Bank acknowledged that bitcoin could possibly disrupt global financial stability if its adoption continues to grow. As they do with platform-based digital currencies, central banks are studying and closely monitoring decentralized digital currencies such as Bitcoin. There could be potential risks to overall financial stability if Bitcoin became a significant means of payment and the Bitcoin system remained unstable. It's no surprise....