The Central Bank of Chile has delayed plans to launch a central bank digital currency (CBDC).
The proposed Chilean digital peso will have to wait as the central bank is conducting deeper analysis of the economic implications of launching a CBDC.
While some countries have chosen to switch to cryptocurrencies altogether, such as El Salvador, Chile wants to make sure it gets it right.
For the most part, banking experts want to build a CBDC that comes with benefits other than the digitalization of the nation’s money.
A system has already been put in place and the central bank has reported that it “works adequately”, but more testing needs to be done.
In a statement the bank said: “A CBDC would contribute to achieving a competitive, innovative and integrated payment system that is inclusive, resilient and protects people’s information.”
A new working group is now being formed to study the further implications of passing a CBDC.
However, the central bank wants to make sure it has everything right before going ahead with a digital peso. One of its fears is that digital currencies may be used by criminal elements to launder money or hide ill-gotten gains.
However, a CBDC may fix that. “The issuance of a CBDC is also a good alternative to face the challenges associated with the potential massification of so-called virtual currencies”, the central bank explained.
While Chile is still debating the adoption of cryptocurrencies, and a CBDC, you may use your crypto at casinos such as Bitcasino.io, FortuneJack, and 1xBit.