The threat of cryptos is accelerating the transition to digital currencies

When worry becomes a driving force. A majority of central banks admit that the strong development of the crypto market in 2021 and in particular of their possible rivals, stable cryptos or “stablecoins”, has prompted them to accelerate their work on digital currencies. It is the developed countries more than the emerging ones who perceive cryptos as a threat to their monetary sovereignty, according to the survey (1) carried out by the Bank for International Settlements (BIS) among 81 central banks. Eight out of ten issuing institutes in the richest countries believe that stable cryptos backed by a major currency (euro, dollar, etc.) have development potential as a means of payment.

Faced with this growing threat, 68% of countries are now likely to launch a digital version of their currency for their citizens within six years, and one in four by 2025. A notable change. In 2018, only about a third of them were considering the big leap into currencies 2.0 in the more or less long term.

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