The Reserve Bank of Australia has followed the steps of other national banks and decided to move ahead in the digital currency system. They are following the steps of other national banks in various countries. In a press release, the RBA said that they will collaborate with private players and build a safe and secure environment for eAUD, or the digital version of the Australian dollar.
They have identified specific areas where eAUD can be used ranging from international payments to internal trading systems. The eAUD will be easy to access and less complicated as per the RBAs officials. Digital currency is taking importance in every major economy and they are looking forward to launching their digital currency.
So it can be said that this trend will continue, and we will witness more countries exploring the possibilities of CBDCs. This move is seen as a response to the increasing use of cryptocurrencies and the potential threat they pose to the stability of the traditional financial system.
Around 10 countries have already adopted the Central bank digital currency (CBDC), and 89 countries are in the process of launching their digital currency. Last year, the Reserve Bank of India also launched the eRupee after intense discussions and examinations of risks.
The RBA’s assessment will also examine any potential risks that could arise from the implementation of a CBDC, such as how it might affect policymakers, the stability of the economy, and online fraudulent issues.
This step is to ensure that any possible risks are minimized. The RBA has emphasized that it will continue to collaborate closely with relevant players, including nations that have already implemented CBDCs, payment service providers, and the government.