Friday, September 22, 2023

G20 endorses “digital public infrastructure” that pushes DIGITAL CURRENCIES

G20 endorses “digital public infrastructure” that pushes DIGITAL CURRENCIES 



The Group of 20 (G20) is exploring the possibility of a "digital public infrastructure" (DPI) that could lead to digital identification systems and the potential development of a centralized digital currency.

The G20 is composed of the European Union and 19 other influential nations. Together, they represent a substantial portion of the global economy, international trade and the world's population. It endorsed the exploration of DPI in a document titled "Policy Recommendations for Advancing Financial Inclusion and Productivity Gains through DPI."

DPI is comprised of several components – including digital identification, digital payments and data exchange. The document highlighted that digital identification systems could enhance financial inclusion, especially in low- and middle-income countries where inadequate documentation often acts as a barrier to accessing financial services.

In a statement released on Sept. 10, G20 leaders expressed their support for the rapid implementation of the Crypto-Asset Reporting Framework & Amendments to the Common Reporting Standard. The framework and amendments, drafted by the Organization for Economic Co-operation and Development, deals with the taxation and reporting of crypto-assets. The statement also endorsed discussions on the potential macro-financial consequences associated with the introduction and adoption of central bank digital currencies (CBDCs).

Indian Finance Minister Nirmala Sitharaman emphasized the need for a regulatory framework for crypto assets. European Commission President Ursula von der Leyen, meanwhile, discussed the success of the Wuhan coronavirus (COVID-19) digital certificate and its potential to serve as a model for a broader digital ID system.


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