Fri, Jun 17, 2022
FOR IMMEDIATE RELEASE (Washington, DC – June 17, 2022) - The Bretton Woods Committee (BWC) is pleased to announce the release of our newest publication, “Emerging Digital Finance Ecosystem and Positive Use Cases,” presented by BWC Digital Finance Project Team (DFPT).
The second in a series of eight installments, this policy brief examines how innovations in digital finance can make the global financial system more efficient and inclusive. Blockchain and other crypto technologies have the potential to facilitate new business models that can overcome the shortcomings of an existing system that is complex, inefficient, and difficult to change and modernize. The brief identifies three important positive use cases: easier digital identity verification and data privacy; low-cost timely, secure, and scalable payments; and more inclusive and efficient financial services.
“Policymakers and regulators can play a constructive role in supporting financial institutions to develop more inclusive and efficient business models enabled by technology, while ensuring the appropriate governance and risk management are implemented to safeguard consumers, businesses, and the broader financial ecosystem,” says Deepika Sharma, one of the primary co-drafters.
The increasing growth and reliance on cryptocurrency and blockchain technologies signals the need for further conversations and regulations regarding their transparent and effective usage. As stated by Natalya Thakur, the second primary co-drafter, “The costs of the traditional financial system and its legacy systems continue to burden large financial institutions as they fight to stay relevant in a world of innovation. However, it’s understandable that these institutions can’t switch systems overnight. There are several use cases of crypto technology that allow these institutions to evolve with the industry and solve some of their current problems while still maintaining some level of touch with their current platforms and services.”
According to BWC Chair William C. Dudley, “This policy brief is intended to analyze the current state of digital finance and inform future policymaking decisions about its potential and the need for greater regulatory engagement. These positive use cases demonstrate the ways in which transactions through cryptocurrency and blockchain technologies have the potential to be conducted in a way that is beneficial to consumers and businesses alike.”
The “Emerging Digital Finance Ecosystem and Positive Use Cases” policy brief is available on the BWC website and presented on the June 17 episode of the CoinDesk Money Reimagined podcast hosted by Michael Casey. The episode will feature an interview with William C. Dudley, and Deepika Sharma.
About the Bretton Woods Committee
The Bretton Woods Committee is the preeminent non-profit organization dedicated to effective international economic and financial cooperation.
Media Contact Elena Tosana, Program Director, [email protected], +1-703-389-7428