Swiss Government Thinks On Introducing Own Digital Currency
On May 17th Reuters announced that Federal Council of the Government of Switzerland has asked for a provide details regarding the risks and opportunities of presenting its own state-supported digital currency – “e-franc”.
The Federal Council moved to research the subject at the incite of Swiss official and VP of the Social Democratic Party, Cedric Wermuth. In fact, the Council stated:
“The Federal Council is aware of the major challenges, both legal and monetary, which would be accompanied by the use of an e-franc… It asks that the proposal be adopted to examine the risks and opportunities of an e-franc and to clarify the legal, economic and financial aspects of the e-franc.”
Presently, the lower house of the Swiss parliament needs to choose whether to promote the Federal Council’s request to be examined and discussed. Should the proposition be endorsed. There has been put no time limits regarding that process.
The idea of a national digital currency was proposed by the chairman of the Swiss stock exchange SIX Romeo Lacher in February.
Another financial institution of the country have stayed careful about the presentation of cryptographic forms of money. Board Member of the Swiss National Bank Andréa Maechler said a month ago, that private digital standards are preferred and less unsafe over broadly issued renditions, as an official cryptographic money could expand the danger of alleged “bank runs.”
Earlier this month, Switzerland’s largest bank UBS refused to trade in bitcoin and other digital currencies.
Different countries have additionally started thinking about a national advanced cash. Sweden’s Riksbank is researching whether they should issue an e-krona, as the utilization of physical banknotes in the nation keep on declining.
