BOE Gov. Bailey declines to rule out the creation of digital currency

Is the BOE seriously considering cryptocurrencies?

digital is not crypto

Most central banks considered and are reviewing digital currencies. There are many examples of localized currencies to boost town/city economy and to keep money from leavening, and they are considering making digital versions - aka localized cryptocurrencies.

Digital currencies will be "crypto". Crypto is short for cryptography: using strong cryptography to secure transaction record entries, to control the creation of additional digital coin records, and to verify the transfer of currency ownership.

cryptography itself is 1000s of years old.

Does the guy look like he understands the first thing about Crypto ?

He already has a Digital currency, the Bank of England like all central banks print money out of nothing on a computer, with a mouse and a keyboard.

Last time I looked Analog computers died out in the late 1940's, therefore any currency since then is a "Digital" currency.

I would suggest Bailey is attempting to look "Modern" from a Bank staffed by the elderly with elderly thinking.

And saying he's not written off making something we already know he has is frankly Alsthemic , which is even more worrysome.

Poor old B of E , the Old Lady has enterered the retirement home !!

I believe that some countries were going to try and create a cryptocurrency for themselves. Did any country do that?

These currencies are being created so they can get rid of paper money. Governments around the world are broke because of pension liabilities, they want to track, trace and tax every penny and will use covid as an excuse to bring this in.

Digital currency is inevitable.

Government fiat currencies are already widely digital, with a small percentage existing in cash or other bearer instruments. I think the question to really ask is when a major central bank (like BOE) makes the GBP exclusively digital (i.e. getting rid of cash). I suspect the desire is there because only then can they start to work their way deeper into negative interest rates.

The desire is definitely there the fact this topic keeps coming up is proof of that. The thing is realistically implementing it unilaterally would be the hard task for me. As long as governments can still create supply and control supply I think they'd be open to that exclusive digital route. The thing is one country will be bold enough to try it and they'll be the international guinea pig to see how well it can work.