IBM working with global central banks? Oh wow! Not a conspiracy, not a covert operation but rather a big breakthrough in the acceptance of a digital currency. The thinking from the head of blockchain solutions at IBM is that there will be a central bank digital currency (CBDC) coming to a digital wallet like yours……soon. But, I’m sure if everyone thinks that bitcoin will get some “kick” from this they will be surprised. The CBDC) will be on the Steller network. Steller has a native token called Luman which IBM has been using in other financial applications so a digital currency is just a natural extension of this work. So, when will this state issued digital currency make its debut? Or, better yet, WHICH country will be first?? Well there are tons of rumors like Russia, Israel, Indonesia, China, etc, but they are not likely to be working with IBM. So who? Let’s assume I know but why would I tell you? A “donation” makes my lips speak. Stay tuned.
(Bill Taylor/Managing Editor)
“In an informal ask-me-anything session on reddit, which began on March 22 and appears to be ongoing, IBM’s head of blockchain solutions for financial services, Jesse Lund, said that the public should “definitely” expect to see a central bank digital currency (CBDC) issued on the Stellar network “soon.”
Asked how far off he believes such a development is, either on Stellar or on another blockchain, he replied, in all capital letters, “VERY VERY CLOSE.” The tech giant, he said, is “aggressively working with” central banks, as well as other financial institutions, to issue digital assets. He declined, however, to identify which country or countries’ central banks might be issuing the CBDCs, explaining that he was “not in a position to talk about clients yet.”
IBM has been using Lumens, the native token of the Stellar blockchain, “as a bridge asset to support real time [foreign exchange] and settlement” in what Lund calls its “cross border payment solution,” which is ostensibly aimed at commercial banks. However, the firm is also pursuing technology that would allow for “other digital assets,” including digital currencies, to be used in transactions on the Stellar blockchain “as an alternative and complement to Lumens.”
One of the payments solutions that IBM has devised enables parties to transact without the need for “any agreement in place prior to transacting” because in that configuration, “each transaction is an atomic set of operations that either settle in real time or don’t.” Lund also alluded to the possibility of tokens moving between the Stellar network and “interoperable blockchains…”