World Bank Report Illustrates The Potential of Blockchain In Bid For Financial Inclusion

The World Bank's most recent report demonstrates a change in tone from international institutions, and a broader rush to implement this technology on a broader scale.

  • The recently released World Bank’s dossier has highlighted various concepts on emerging Technology i.e. Blockchain.
  • This was an extension of the PAFI 2016 report also by world Bank that in length touched on DLT’s, stablecoins and CBDCs.
  • There also seems to be a consensus that Stablecoins have sped up the process for CBDCs.

Emerging technologies like Blockchain have sent Financial Institutions into a frenzy to try and adopt them lest they get left behind.

These same entities have tried to integrate their legacy-ridden payment systems in a bid to achieve seamless operations. The World Bank has recently released a dossier which seems to indicate that they share the same sentiment that Blockchain is, indeed, ready for financial inclusion.

The 70-page report titled – “Payment aspects of financial inclusion in the fintech era” -released by The Bank of International Settlements (BIS) has highlighted various underlying crypto and blockchain services such as Stablecoins as well as CBDCs.

The dossier Emphasizes how the accelerated pace of innovation has resulted in the “Era of Fintech.” But this has not come without its challenges.

“However, it is not a panacea and there are risks that need to be managed”

An Extension of the 2016 PAFI Report

The report seems to be an extension of the 2016 report – Payment aspects of financial inclusion (PAFI) – which was the brainchild of the joint study of the World Bank and Committee on Payments and Market Infrastructures (CPMI).

The more recent BIS study aligns with the PAFI report into a much modern scenario to include Blockchain concepts.

In the report, the World Bank outlined combining Distributed Ledger Tech (DLT’s), stablecoins, CBDCs and payment systems with cutting edge technologies such as Big Data analysis and cloud computing.

This idea was summed up by the PAFI Fintech wheel, highlighting various milestones that may be instrumental to payment aspects of financial inclusion.

Role of Stablecoins in CBDCs Rush

Citing Libra, the World Bank was able to show that stablecoins had indeed spooked Central Banks, resulting in a CBDC rat race. Mostly because they want control over cross border payments. However, none of these CBDCs have since gone live (yet).

There are concerns, as a recent BIS study reveals, that none of the CBDC projects scope really zero in on cross border payments.

This lack of precision is in spite of several central banks touting their CBDC’s as solutions to faster, cheaper and more secure cross border payments.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Lujan Odera
Lujan Odera
Lujan is a blockchain technology and cryptocurrency author and editor. He has worked in the field of cryptocurrencies and blockchain technology since 2015 helping him gain enough experience to be the writer he is today. He is known for his simple writing style that allows novices to understand the field in the simplest way.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,484FansLike
2,795FollowersFollow
4,267FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Crypto Exchange Gemini Makes an Aggressive Move, Adds 15 Hot DeFi Tokens

DeFi is all the rage in today's crypto world, and no one wants to be left behind, especially cryptocurrency exchanges. Over the past few months,...

Ethereum ‘Getting Ready for Spadina' Testnet Next Week

The Spadina testnet of ETH 2.0 has been scheduled for genesis before the month ends, on September 29 at 12 pm UTC, as per...

KuCoin Hack: Exchange’s Insurance Fund to Cover User Loss “Completely,” Tether Freezes 33M USDT

The Singapore-based cryptocurrency exchange KuCoin released a statement regarding detecting large withdrawals on September 26, 2020, at 03:05:37 (UTC+8). The exchange has reportedly lost $150...

Crypto Custodian, Anchorage, Adds Support for DeFi Tokens: BAL, NXM, AAVE, UNI, and YFI

Anchorage, the Delaware corporation headquartered in San Francisco, California, and digital asset custodian for institutional investors is diversifying its DeFi token options for its...

Coinbase Wallet Targeted by New Trojan Malware Dubbed ‘Alien’

The Coinbase wallet is among 226 Android applications targeted by a recently discovered Trojan dubbed ‘Alien.’ This malware mostly targets the financial services space...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today