Article content material
OTTAWA — The Bank of Canada‘s public consultations on the creation of a digital Canadian dollar reveal most respondents are opposed to it.
The central bank released its findings Wednesday that show more than 80 per cent of respondents strongly opposed the Bank of Canada researching and building the capability to issue a digital dollar.
Article content
The vast majority of respondents also said they do not trust the Bank of Canada to issue a secure digital currency.
Article content
Among the top concerns was privacy, with many respondents valuing the anonymity associated with cash. Moreover, the questionnaire revealed low levels of trust in institutions to protect personal data.
The central bank says it will explore options for a digital dollar where identification is not necessary for basic transactions, as is the case with cash.
The Bank of Canada noted the findings do not necessarily reflect the views of the overall public because participants self-selected to respond to the questionnaire.
As more people go cashless, central banks around the world are researching the possibility of creating digital versions of currencies.
A digital currency would be different from cryptocurrencies because it would be backed by the central bank and its value wouldn’t change since it could be simply one other type of current Canadian foreign money.
In 2020, the Financial institution of Canada introduced that it could construct a contingency plan for the creation of a digital foreign money, ought to the necessity for it ever come up.
Whereas the general public consultations aimed to gauge curiosity in a digital foreign money, the central financial institution stated the choice to create a digital greenback is for Parliament to make.
Article content material
“Our responsibility is to ensure the Canadian payments system is ready for the economy of the future,” Financial institution of Canada senior deputy governor Carolyn Rogers stated in an announcement.
“The way people pay for things and use money is changing. If Canadians decide a digital dollar is necessary, our obligation is to be ready.”
Conservative Chief Pierre Poilievre has vehemently opposed the creation of a digital foreign money, proposing final yr to ban the Financial institution of Canada from creating one.
On the similar time, he has beforehand promoted using cryptocurrencies and advised it provided Canadians a approach to choose out of inflation, although he has shifted away from the subject extra lately.
The central financial institution additionally sought out the ideas of different stakeholders on the creation of a digital foreign money, together with the monetary sector and civil society organizations.
Monetary sector stakeholders stated they wished extra data on how a digital foreign money would work to raised perceive the implications for his or her enterprise fashions.
Associated Tales
The central financial institution says a digital foreign money wouldn’t pay curiosity, with the intention to mitigate the potential danger {that a} digital greenback would substitute industrial financial institution deposits.
The Financial institution of Canada’s engagement with civil society teams that advocate for Canadians with disabilities, shoppers and low-income Canadians discovered these teams primarily supported a digital foreign money if its design would take away current boundaries.
Share this text in your social community
