BIS sets 2024 strategy with key focus on CBDC and tokenization
The Bank for International Settlements (BIS) is set to enhance digital currency research and tokenization in 2024 according to a Jan 23 announcement. The BIS Innovation Hub has outlined an ambitious program for 2024, set to focus on central bank digital currencies (CBDCs), cybersecurity, financial crime prevention, and green finance. A key highlight will be the progression to the second phase of Project Aurum, delving into the privacy of retail payments using CBDCs. The latest move follows the successful development of a wholesale interbank system and a retail CBDC prototype by the Hong Kong Monetary Authority (HKMA) in 2022. Cecilia Skingsley, head of the BIS Innovation Hub, emphasized the significance of tokenization in financial systems. Project Promissa, a collaboration with the Swiss National Bank and the World Bank, aims to digitize traditional financial instruments like promissory notes, which remain largely paper-based. The project intends to streamline their management