BTC Backer Jimmy Song Balks at International Monetary Fund’s Learning Coin and Special Drawing Rights
During a conversation with Tone Vays and NVK, Jimmy Song, a recognized Bitcoin (BTC) developer and supporter talked about the International Monetary Fund (IMF) and the decision to launch a new stablecoin with the World Bank.
About it, he said that the IMF has already a stablecoin known as Special Drawing Rights.
Jimmy Song Talks About IMF’s Stablecoin
The International Monetary Fund and the World Bank have recently launched their own cryptocurrency known as Learning Coin. Although it has no monetary and real value, the digital currency can be used by employees to pay for things at the cantine or just purchase some things at their workplace at these institutions.
The goal behind this virtual currency is to provide more knowledge about cryptocurrencies and how they work to the IMF and the World Bank. This would allow them to propose better regulations for the crypto space as a whole. Nonetheless, Jimmy Song said that the IMF had already created a stablecoin called Special Drawing Rights.
According to Jimmy Song, this digital currency was a “disaster:” The Central Bank of Canada had a “decent amount” of SDR’s, which worked as a supplementary foreign-exchange reserve asset that is maintained by the IMF.
On the mater, he said:
“It’s kind of a weird situation. I don’t know what they’re trying to do. It really sounded a lot like airline miles to me. Like they’re trying to like create some sort of special thing that you can only redeem on their side.”
There are different central banks around the world that are analysing the possibility to launch central bank digital currencies (CBDCs). These are centralized digital assets that could work on top of blockchain technology or not and that will be used for specific issues that governments need to solve.
At the same time, Song talked about the cryptocurrency market in India and the National Payments Corporation of India (NPCI), which aimed at implementing blockchain technology to improve the payments that are processed through its network. About it, he said that India was following the same steps as the IMF and the World Bank.
With these digital assets, banks are going to have more information about their clients and how they spend their funds. Furthermore, these institutions would be able to stop transactions and introduce new regulations if they detect consumption patterns that hey don’t like.