In recent years, the Bank of England (BoE) has pondered the idea of adopting a central bank-issued digital currency (CBDC). But after the People's Bank of China gave the green light for its digital currency, dubbed e-CNY, to be tested in four cities back in 2019, the race was on for other global governments to catch up.
This April, the BoE announced the launch of a taskforce to explore its practicalities and the feasibility of its implementation. Should this taskforce lead to an eventual adoption of a digital pound, wider adoption of cryptocurrencies among a broader range of investors will almost certainly follow. Once the Government begins to issue money digitally, a whole new pool of traditional investors, including high net-worths and institutions, will naturally adapt their view of digital assets and increasingly consider cryptos as a viable form of money. Eventually, Government-level endorsem...
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