Analysts at the cryptocurrency brokerage firm Copper presented a report from an in-depth study of central banks’ efforts to design the future design of CBDCs. As it turned out, the state financial structures do not have the relevant specialists and lack the unified infrastructure necessary to launch a fully automated decentralized equivalent of cash.
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“While central banks are exploring or testing CBDC pilots, the implementation of their proposed models for everyday purposes is highly questionable. In particular, no CBDC model has yet been proposed that could technically replace cash. The situation is complicated by the fact that in addition to central banks, CBDC issuance is also planned through the infrastructure of commercial banks,” says the study.
Copper experts expressed concerns about the difficulty of creating trading pairs and the challenges in maintaining the linkage between the disparate brands of CBDCs, especially those issued by commercial banks. For example, if there is negative information about the financial insolvency of any of the banks, consumers may have trouble trusting the asset, which could cause chaos in the decentralized open markets.
Copper explained that CBDC’s crucial interoperability factor was not adequately considered by test participants. According to experts, designs and models should allow for integration rather than vendor lock-in, because each CBDC issuer will always have a unique vision and requirements.
Earlier, the director of the International Monetary Fund (IMF) Kristalina Georgieva said that her agency is beginning to work on the concept of infrastructure that will ensure interoperability of settlements in CBDCs issued by national central banks.<br