June 24, 2024
Ripple Affirms CBDC Potential In New White Paper
Latest Cryptocurrency News

Ripple Affirms CBDC Potential In New White Paper

Ripple has reaffirmed its strong endorsement of central bank digital currencies (CBDCs) in a recently released 23-page white paper on December 14. The document outlines the fundamentals of CBDCs, addressing their benefits, risks, and impediments to widespread adoption. According to Ripple, CBDCs play a crucial role in expanding financial inclusion, facilitating cross-border payments, and strengthening control over monetary policy.

“CBDCs are needed to support the most significant positive impacts of asset tokenization, an increasingly targeted mechanism for transforming tangible assets into digital tokens stored on the blockchain.”

The white paper underscores the need for a global regulatory framework for CBDCs, citing barriers such as a lack of uniform regulations, low end-user adoption, limited consumer education, privacy concerns, security protections, digital identity verification, interoperability challenges, and access to offline transactions.

Despite these challenges, Ripple believes they are not insurmountable. The company emphasizes its active involvement in the development of CBDCs worldwide, citing collaborations in countries such as Bhutan, Palau, Montenegro, Colombia, and Hong Kong.

Ripple is currently working with over 20 central banks globally on various CBDC initiatives. The white paper concludes by highlighting the exciting potential of CBDCs, estimating that approximately $5 trillion worth of CBDCs could circulate within major economies over the next decade.

In November, James Wallis, Ripple’s vice president, expressed optimism about CBDCs, noting their cost-effectiveness and potential to offer streamlined payment options and credit opportunities to individuals without previous ties to financial institutions.

Image by Freepik

Disclosure Statement: Miami Crypto does not take any external funding, or support to bring crypto news to the readers. We do not have any conflicts of interest while writing news stories on Miami Crypto.

Related posts

Stripchain Secures $10M to Enhance User Experience

Bran Lopez

New York AG Secures $2 Billion Settlement with Genesis

Ashley Wilson

USDR Crisis: MEV Bot Nets $107,002 Profit on Stablecoin Exchange

Robert Paul

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Please enter CoinGecko Free Api Key to get this plugin works.