10 US Banks Begin Testing ‘Digital Currency’ to Completely Replace Cash

363
10 US Banks Begin Testing ‘Digital Currency’ to Completely Replace Cash  CBDC

Ten banks in the United States are working with the New York Innovation Center (NYIC), part of the Federal Reserve, to test the regulated liability network (RLN), a digital currency platform that will replace cash.

RLN would use distributed ledger technology to improve financial settlements and would include commercials and central banks, the firm said earlier this month.

The press release said:

“The 12-week PoC [proof of concept] will test a version of the RLN design that operates exclusively in US dollars where commercial banks issue simulated digital money or ‘tokens’ — representing the deposits of their own customers — and settle through simulated central bank reserves on a shared multi-entity distributed ledger.”

“The PoC will also test the feasibility of a programmable digital money design that is potentially extensible to other digital assets, as well as the viability of the proposed system within existing laws and regulations.”

The project will be tested using simulated data and will release its findings after the conclusion of the test, according to the press release.

“It is not intended to advance any specific policy outcome, nor is it intended to signal that the Federal Reserve will make any imminent decisions about the appropriateness of issuing a retail or wholesale CBDC [central bank digital currency], nor how one would necessarily be designed,” the release said.

Banks and firms participating in testing digital currency include:

BNY Mellon

Citi

HSBC

Mastercard

PNC Bank

Swift

TD Bank

Trust

US Bank

Wells Fargo

A New York Fed official said one of the most significant benefits of CBDC is faster cross-border transactions.

As We reported earlier this month, IMF Managing Director Kristalina Georgieva said the government is preparing to deploy Central bank digital currencies (CBDCs) to replace cash, arguing it can increase so-called “financial inclusion.”

“CBDCs can replace cash, which is costly to distribute in island economies. They can offer resilience in more advanced economies,” she said at the Singapore FinTech Festival on Wednesday.

“And they can improve financial inclusion where few hold bank accounts.”

However, the CBDCs will also be used to surveil the entire population’s activities.

In June globalist elites and entities like the IMF are preparing to usher in a techno-communist dystopia with a CCP-style social credit score system.

Rich Dad Poor Dad author Robert Kiyosaki recently issued a stark warning against CBDCs, arguing it would open the doors for unprecedented surveillance of Americans and the world.

“By tracking every financial transaction, they will have access to every detail of our spending, the recipient of our money, and how we allocate our resources,” said Kiyosaki.

Watch

In September, The Daily Fetched reported that the leaders of the group of 20 nations agreed to impose digital IDs and digital currencies on the world population via CBDCs.

The group announced it had agreed to build the necessary infrastructure to implement digital IDs and digital currencies.

Indian Finance Minister Nirmala Sitharaman has already announced that they are preparing to build a global framework to regulate crypto assets, saying they believe that cryptocurrencies can’t be regulated without total international cooperation.

In March, Sen. Ted Cruz (R-Texas) introduced a new bill on Tuesday preventing the Federal Reserve from central bank digital currency.

The legislation (S.887), co-sponsored by Sens. Mike Braun (R-Ind.) and Chuck Grassley (R-Iowa), argues that CBDC would eventually be used as a government surveillance system.

“The federal government has no authority to unilaterally establish a central bank currency,” Cruz said.

Cruz noted that the bill “goes a long way in making sure big government doesn’t attempt to centralize or control cryptocurrency and allows it to thrive in the United States. We should be empowering entrepreneurs, enabling innovation, and increasing individual freedom — not stifling it.”