Jack Lee, the founding partner of HCM Capital, has recently affirmed that the central bank digital currency (CBDC) of China is being created and is expected to be launched in the next few months.
According to a recent interview with CNBC, Lee said that the central bank of China will use the new digital currency to have more strength over its capital flows. He also noted that the Chinese government uses serial numbers on banknotes to track cash flows, so this would basically be a more efficient system.
He claims that we’ll see this system, which is being called the Digital Currency Electronic Payment system, pretty soon. The official narrative created by China is that the launch is “near” but no official date has been stated, which means that he may be right about this.
Daniela Stoffel, the state secretary of international finances in Switzerland, was also interviewed by CNBC. She said,
“The pressure has been on for a while. […] Other governments now realize this is now actually really happening and that the questions and challenges that are implied in an e-currency are now real. I hope this will lend further momentum to decisions on a global basis.”
While there are some concerns about money laundering and other related topics, she claims that the regulators have already understood that they have no choice but to take these systems seriously and that we are about to see a whole new age of digital currencies backed by central banks very soon.