The Central Bank of Chile announced that it is delaying the launch of the CBDC until further research is conducted.
Last September, the bank gave the green light to CBDC development scheduled for launch earlier this year.
In its report, the bank stated that CBDC will “allow increased benefits related to digital transformation while reducing some of its risks” and stressed that the currency can help develop a more competitive, flexible and inclusive payment system. The report, however, concluded that more research is needed to make a final decision.
Research will look at the potentially negative effects of CBDC on the financial system.
The Central Bank convened an expert group last year to research and evaluate CBDC generation.
Central Bank Governor Mario Marcel emphasized that the use of digital money has increased in the country where 40% of the country’s population uses credit cards or digital transfers.
Chile also actively uses blockchain technology to monitor the energy flow in the country.
