Daily Archives: Sep 25, 2021 at 07:53 am EDT

Book Bits: 25 September 2021

The Future of Money: How the Digital Revolution Is Transforming Currencies and Finance
Eswar S. Prasad
Q&A with author via Bloomberg
Q: Why is there such urgency for central banks to develop digital currencies?
A: The reality is that the end of physical cash is not too far away. We are seeing digital payments in various forms beginning to dominate in economies small and large, developing and advanced. So I think for central banks, if you think about their money being used at the retail level, this is at some level an existential question. Central banks will still be able to conduct their main functions and maybe they can continue doing so without having their money being used for retail payments, but having a CBDC has a variety of advantages.

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