Hong Kong Releases Its Future Digital Currency White Paper

According to a new white paper from the Hong Kong Monetary Authority (HKMA), local digital currency e-HKD will be introduced soon.

The Hong Kong Monetary Authority released a technical white paper on retail CBDCs in collaboration with the BIS Innovation Hub. “e-HKD: a technical perspective” peruse the document’s title. The CBDC is expected to be finished by the middle of 2022 and be available for purchase before that time.

The Hong Kong Monetary Authority (HKMA) has lately increased its efforts to bring thee-HKD to market.

HKMA collaborates on research with the Hong Kong-based BIS Innovation Center (BIC). Both organizations were tasked with looking at the specifics of how digital retail currencies issued by central banks are distributed.

CBDCs’ technological design is described in detail in the new whitepaper, which sets it apart from similar publications of its kind.

Another thing to consider is that the Hong Kong Monetary Authority (HKMA) adopted the “Fintech 2025” plan starting this year, which included a commitment to stepping up research on CBDCs. According to HKMA CEO Eddie Yue, this is essential in bringing the digital e-HKD to market.

The Inthanon-LionRock Project was announced by the central banks of Thailand and Hong Kong last year to streamline cross-border payments.

Since Hong Kong’s existing payment system is very efficient, CBDC was deemed unnecessary at the time by the HKMA. Officials have now acknowledged that cross-border payments may be made more efficiently with the use of digital money.

Also Read: The IMF Wants To Regulate The Cryptocurrency Market

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