Oct 01, 2018
By Michael Kramer
Canada’s central bank is looking at the key questions around the design of a digital currency.
But deputy governor Timothy Lane says the bank wouldn’t recommend issuing such a currency – unless the risks associated with it can be managed through appropriate design.
Speaking at the University of Calgary, Lane said those risks include concern that the currency could become a vehicle for illicit transactions.
He says cryptocurrencies currently don’t do a good job of performing the basic functions of money – but as they evolve – they may approach the central bank’s core functions – including monetary policy, financial stability, payments and currency.