According to official sources, the Bank of Mexico intends to implement a central bank digital currency (CBDC) by 2024.
Mexico’s government stated yesterday through Twitter that the Bank of Mexico will implement a CBDC by 2024. According to the tweet, “Banxico [Mexico’s central bank] estimates that by 2024, it will have its own digital money in circulation.” This decision was reached in light of the fact that CBDCs and associated technologies are “very significant as viable choices for advancing financial inclusion in the nation.”
The Mexican government seems to have based its assessment on a recent video conference remark given by Bank of Mexico Deputy Governor Jonathan Heath.
Heath said there that the country’s central bank has a timeframe and that “by the end of 2024, at the latest, we should have [the CBDC] running correctly.”
Though little is known about Mexico’s CBDC, the asset is expected to be backed by and tied to the Mexican peso’s value, as well as managed on a distributed ledger.
Other Central Banks Pursuing CBDC Development
If the Bank of Mexico successfully implements a CBDC in the future years, it will join a growing number of central banks. Other banks, including those in China, Nigeria, and Sweden, have established or are in the process of establishing CBDCs.
Other nations are doing prospective studies on CDBCs. Notably, the Bank of England has declared that the UK may establish its own CBDC by 2030, while India is considering crypto limitations that might pave the way for a digital currency.
Additionally, the US Federal Reserve is examining the prospects for central bank digital currencies, but the nation is unlikely to develop one in the near future.
International agencies such as the International Monetary Fund are also doing research on CBDCs. The author of this essay held BTC, ETH, and other cryptocurrencies at the time of writing.
Wallets