ING’s Chief Economist Predicts Central Bank Digital Currencies in 2-3 Years
Dutch bank ING’s chief economist has said “fully-fledged” digital currencies will be developed by central banks in just two to three years.
Mark Cliffemight, speaking in an ING video published Friday, argued that the Facebook-led Libra cryptocurrency project is putting pressure on monetary authorities. With Libra slated for launch in 2020, central banks “would have” to make a move in that timeline.
“I think we’ve already got some sense of urgency amongst the policy community,” he added. Addressing the benefits for central banks, Cliffemight explained that a digital currency would allow banks to replace physical cash and therefore “move even further into negative territory with interest rates.”