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Peru prepares its own version of «bitcoin»

Another one that wants to advance against the imminence of bitcoin (BTC). Peru is advancing in the creation of its own central bank digital currency (or CBDC, for its acronym in English), to respond to the changes that would be about to occur in the payment system of that country in the future.

This was revealed by the president of the Central Reserve Bank of Peru (BCRP), Julio Velarde, during the Annual Conference of Executives (CADE), where he admitted that they were already working on a digital currency .

A CBDC, by definition, is a virtual asset issued and backed by the central banks of the countries. There are already examples of CBDC, such as in the Bahamas or Nigeria.

«The payment system that we are going to have in 8 or 10 years in the world is going to be completely different from the current one. We have been working on a digital currency, “said Velarde.

The manager stated that, to advance in this regard, the institution has been working with other central banks who consider that in the future the use of digital assets will increase.

«We are in a lot of projects with several central banks. We are with India, we are working with Singapore, with Hong Kong thinking of a digital currency, which is going to be the one that is going to be imposed in the future, “added the also economist, to then clarify that if well they will not be the first to have a CBDC , they do not want to be left behind.

According to Velarde, the Peruvian CBDC project is “more advanced” compared to other central banks . This is how he put it:

At least we are at the same level or advancing compared to our peers of the same size. We are further behind than Mexico and Brazil, perhaps, but more advanced than other European countries.

Julio Velarde, president of the Central Reserve Bank of Peru (BCRP).

The Peruvian institution has been working with other central banks, according to Julio Velarde / Source: Twitter.

No is the first in Latin America

Peru’s plans are not new in Latin America . Other countries in the region have made progress in this regard given the imminent arrival of a digitized economy .

The most recent example was Chile, in September, which reported, via the Central Bank, that a working group had been formed focused on generating a digitalization strategy for the Chilean economy.

Through a press release, the institution stated that this group will have among its tasks to evaluate «the objectives, requirements and regulations for the development of a digital currency issued by the Central Bank ”, as recorded by CriptoNoticias.

In Colombia, although there is nothing properly said, there are hints, well for BTC or for a CBDC, noting that the country requires a payment infrastructure that connects and includes everyone at a lower cost than the existing options.

The Bahamas and other Caribbean countries also already have with its CBDC, is the case of the Sand Doll ar and the DCash. And if you talk about other countries, Sweden, South Korea and some from Africa have lent themselves to the technological advances protected under this new form of money.

But bitcoin is unstoppable and the fact that more countries join the creation of CBDC can mean two things: they want to stop the penetration of BTC or, frankly, they think of an economically novel future.

It seems that the first option is pouncing more towards the reality: a CBDC is controllable, a centralized object, managed by a state. Bitcoin, in contrast, is economic freedom, something that is not acceptable to everyone. It will be necessary to see which way the governments take.

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Sandra Loyd
Sandra is the Reporter working for World Weekly News. She loves to learn about the latest news from all around the world and share it with our readers.

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