Officials from Banque de France have endorsed the global perspective on central bank digital currencies (CBDCs), describing them as the cornerstone of a new international monetary system. In a speech delivered on October 3, Denis Beau, the First Deputy Governor at Banque de France, referred to CBDCs as the catalyst for enhancing cross-border payments and emphasized the importance of addressing cross-border issues related to CBDCs from the outset rather than as an afterthought.
Beau outlined two potential paths for the development of CBDCs. The first involves creating common standards and interoperability between wholesale CBDCs and existing systems, while the second path, endorsed by the International Monetary Fund (IMF) and the Bank for International Settlements (BIS), envisions the development of regional or global CBDC platforms. These platforms would standardize wholesale CBDCs for direct exchange and enable payment versus payment and delivery versus payment transactions.
Banque de France Officials See CBDCs as Key Element in Shaping a New Global Monetary System
Beau cited Project Mariana as an example of CBDC development. This project, which included collaboration between Banque de France, the Monetary Authority of Singapore, and the Swiss National Bank, focused on exploring automated market maker (AMM) possibilities and concluded successfully in late September.
In addition to discussing CBDCs, Beau touched on the tokenization of finance. He expressed his belief that the public sector should provide more support to the private sector to unlock the full potential of blockchain technology while managing associated risks. He emphasized that tokenized central bank money availability and tokenized assets should be viewed as allies rather than competitors.