One of the world\u2019s biggest monetary policymakers, the IMF, analyzed the legal framework behind Central Bank Digital Currencies (CBDCs) in a working paper, dubbed \u201cLegal Aspects of Central Bank Digital Currency: Central Bank and Monetary Law Considerations.\u201d The document was published on IMF\u2019s website.IMF\u2019s biggest concern is that the current legal framework on CBDCs may prove to have legal, financial, and reputational risks for its issuers. This is the reason central banks still not to have publicly available versions of CBDCs. Furthermore, the IMF notes that \u201cit is not obvious from a monetary law perspective that a CBDC can be granted \u2018currency\u2019 status.\u201dThe problem lies within CBDC\u2019s ability to be officially labeled as a \u201ccurrency.\u201d The IMF stated that there has to be a clear differentiation between central bank money and privately-owned money. Monetary tools like credit balances and commercial bank accounts, called liabilities, should be separated from the crypto sector, as cryptos may not be considered as liabilities.IMF\u2019s paper also states the need to distinguish currencies like Bitcoin, Ethereum, and XRP from official monetary units, like the U.S dollar, the Euro, or any other national fiat currency.\u201cThese monetary units are clearly established by relevant legislation and must be distinguished from non-official quasi-monetary units (such as BTC (Bitcoin), ETH (Ethereum), and XRP (Ripple)) which are not established by law,\u201d the document reads.The monetary policymaker also emphasized on the fact that cryptocurrencies like Bitcoin, for example, can currently be described as \u201cmoney\u201d as the term definition is fairly broad. However, cryptocurrencies have regulatory approval in some jurisdictions, which makes them equal to traditional currencies like banknotes, coins, or book money.\u201cSome assets (e.g., Bitcoins) may be considered as money under one body of law (e.g., VAT law), but not under another (e.g., financial law).\u201dThe IMF also gave an answer to the question\u2026<\/p>","protected":false},"excerpt":{"rendered":"
One of the world\u2019s biggest monetary policymakers, the IMF, analyzed the legal framework behind Central Bank Digital Currencies (CBDCs) in a working paper, dubbed \u201cLegal Aspects [\u2026]<\/span><\/p>","protected":false},"author":0,"featured_media":2796,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts\/2887"}],"collection":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/comments?post=2887"}],"version-history":[{"count":0,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts\/2887\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/media?parent=2887"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/categories?post=2887"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/tags?post=2887"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}