Bank of Korea Recruits Experts To Analyze The Impact of Digital Currencies
The central bank of South Korea is hiring a group of experts that will be working in order to analyze cryptocurrencies and to expand the bank’s knowledge of virtual currencies. The information was released by the Bank of Korea in a document on December 27.
Bank of Korea Hires Crypto Experts
As per the document, the goal is to understand how cryptocurrencies could improve the country’s financial system. Virtual currencies can be easily be used to reduce transaction costs and make them much more efficient.
At the same time, the central bank of South Korea will also be making a special research on blockchain technology and in the so-called Central Bank Digital Currencies (CBDCs). Many central banks consider that it is possible to make the whole financial system more efficient.
This is not the first central bank in the world that is analyzing the possible impact of CBDCs and how they can be used in the market by financial institutions. Most of the CBDCs that have been analyzed have been proposed as a currency to settle payments and make transfers for large companies and institutions.
While the whole cryptocurrency market is excited about the idea of a CBDC, governments are not planning to launch them for the general public. For example, Switzerland informed that there are more risks than benefits involved in the creation of a Digital Franc.
It is worth mentioning that the Bank of Korea may not be planning to launch any CBDC in the near future. Reports suggest that the country is not working on one of these CBDCs.
Despite that, it is clear that central banks must have more knowledge about the whole cryptocurrency market and which are the risks and benefits associated with launching a central bank digital currency.