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At least 15 central banks are serious about getting into digital currency

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12 hours ago, lucky said:

14 central banks issuing tokens means 14 tokens that need to be exchanged to each other, which is 91 markets. If all 267 central banks would issue their own digital currency, that's 35,511 markets (currency paths). XRP will be the native asset of Ripple's banking infrastructure, sold to these same central banks, and will concentrate liquidity with a factor 133 to just 267 markets. These will become the most competitive ones, and XRP will become the most traded asset.

At least, that is the plan.

Not an expert, but every country has central bank and there is one world central bank. Can latter issue a digital asset that will connect them all that makes XRP no use for banks, but still be space to facilitate payment providers, or become one central that plugged into Central Banks.

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1 hour ago, LostInXrp said:

Not an expert, but every country has central bank and there is one world central bank. Can latter issue a digital asset that will connect them all that makes XRP no use for banks, but still be space to facilitate payment providers, or become one central that plugged into Central Banks.

what ‘world central bank” are you referring to?

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2 hours ago, LostInXrp said:
14 hours ago, lucky said:

14 central banks issuing tokens means 14 tokens that need to be exchanged to each other, which is 91 markets. If all 267 central banks would issue their own digital currency, that's 35,511 markets (currency paths). XRP will be the native asset of Ripple's banking infrastructure, sold to these same central banks, and will concentrate liquidity with a factor 133 to just 267 markets. These will become the most competitive ones, and XRP will become the most traded asset.

At least, that is the plan.

Not an expert, but every country has central bank and there is one world central bank. Can latter issue a digital asset that will connect them all that makes XRP no use for banks, but still be space to facilitate payment providers, or become one central that plugged into Central Banks.

@LostInXrp are you thinking about the World Bank?? If so, its sole purpose is to focus on poverty reduction and the long-term economic development/growth of developing countries.

Edited by King34Maine

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15 hours ago, Xrpforme said:

I read this and couldn’t help but wonder if this could be XRP’s biggest threat. If countries ultimately go digital, what would prevent them from sending a digital USD coin to a bank in China and settling in digital yuan? Maybe I’m missing a huge point here, but it seems that major countries could just send and settle between themselves using central bank backed tokens. I’m sure they’d need speed and only major currencies would have enough liquidity on exchanges, but seems like you wouldn’t need a bridge asset.  

because they don't trust each other.

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3 hours ago, LostInXrp said:

Not an expert, but every country has central bank and there is one world central bank. Can latter issue a digital asset that will connect them all that makes XRP no use for banks, but still be space to facilitate payment providers, or become one central that plugged into Central Banks.

You're probably referring to the World Bank.  It's a bank that basically lends to underdeveloped countries to build their infrastructure like schools, hospitals, etc.  The Bank loans these countries money. Then World Bank economists frequently travel to those countries to oversee and evaluate the projects making sure the money gets spent in a rational way and the funded projects make sense and can actually contribute to economic growth.

 

Edited by enrique11

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1 hour ago, enrique11 said:

You're probably referring to the World Bank.  It's a bank that basically lends to underdeveloped countries to build their infrastructure like schools, hospitals, etc.  The Bank loans these countries money. Then World Bank economists frequently travel to those countries to oversee and evaluate the projects making sure the money gets spent in a rational way and the funded projects make sense and can actually contribute to economic growth.

 

Seems like an excellent use case for XRP.

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58 minutes ago, BeachSandInToes said:

Seems like an excellent use case for XRP.

A lot of countries aren't able to pay back their loans and the World Bank will continue loaning out money knowing this, so the the World Banks really views these loans as goodwill gesture loans extending to political gestures of good will, to potentially gain political support from these countries and in turn make these countries leaders/administrations look good.

I'm not saying it's necessarily bad.  I'm just saying that the World Bank won't get it's money back in many cases...so when political issues arise or the underdeveloped countries are further along in development, these countries in theory can be more closely aligned politically with the developed countries that support the World Bank because of the good treatment (loans that won't be paid back) they got from the World Bank. Regardless of whether loans get paid back or not (many won't), a country receiving such treatment tends not to bite the hand that helps it.

Edited by enrique11

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12 minutes ago, enrique11 said:

A lot of countries aren't able to pay back their loans, so the the World Banks really views these loans as goodwill gesture loans to an extent extending to political gestures of good will, to gain political support from these countries and in turn make these countries leaders look good.

Agreed.

Most of these "Goodwill gesture loans" go towards development projects.  Even after loans are approved, the World Bank remains an active partner to help oversee these projects.  It's fair to say these projects are flush with expensive and time consuming cross border payments.  Good fit for XRP.

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1 hour ago, sjmusic3 said:

BIS is the bank for central banks.

This is correct as far as I know. I think the BIS is where Central Banks go to settle up asymmetries in their balances of payments 

https://www.investopedia.com/terms/b/bis.asp... "The Bank for International Settlements (BIS) is often called the "central bank for central banks" 

---

One of the key points I have tried to make about CBDC is regarding final Settlement... in Cash vs in Commercial Bank Deposits.

The point is that due to fractional reserve there is a different nature to Commercial Bank Deposits, aka "money in the bank" vs the nature of "cash in hand". The "money in the bank", is not all in the bank... while Cash in hand, is all in your hand. 

I think for Final Settlement to occur  on a cross boarder transaction that the Final Settlement needs to be done with Cash in Hand. Since I cant email you a paper dollar, we need Digital Cash in Hand, which seems to be getting called CBDC "Central Bank Digital Cash/Currency"

The reason I say this, is because Commercial Bank Deposits are inherently subject to Credit, while "settlement" is inherently about unwinding any preceding credit arrangements effectuating "final settlement".

Quote

 

Settlement -https://www.ecb.europa.eu/home/glossary/html/glosss.en.html

The completion of a transaction or of processing with the aim of discharging participants’ obligations through the transfer of funds and/or securities. A settlement may be final or provisional.

See also 

 

While it may be acceptable for private corps/persons to settle up in Commercial Bank Deposits, I dont think Central Banks can settle in the deposits of the banks who merely operate within an economy. Maybe CB Reserves could be used to settle, but I dont think the CBs let other CBs hold their reserves, hence the BIS.

So you can do "net settlement" in Commercial Bank deposits, then settle up any imbalance in Cash/CBDC. 

I think you need the CBDC/Cash to accomplish the "final settlement" because Cash/CBDC achieves "unconditional, enforceable and irrevocable", while Money in the Bank can be conditional on bank solvency, seized, or reversed by court order.

I made this video to try an explain some of this.

Edited by KarmaCoverage

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20 hours ago, AlibabaGrp said:

They need one universal bridge coin, our hope is xrp would be the one

Not necessarily true. They may simply choose to default to the most stable and widely accepted, the same way people do with fiat. In other words, if a crypto dollar is more widely desired than XRP, why would they choose to use XRP?

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