Sunak has encouraged the launch of Britcoin RIGHT NOW or risk a £40 billion “crisis” in which the EU snatches victory.

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Sunak has encouraged the launch of Britcoin RIGHT NOW or risk a £40 billion “crisis” in which the EU snatches victory.

A City think group has stated that Britain must beat the European Union to the launch of a digital currency, formerly called “Britcoin” by Chancellor Rishi Sunak.

Failure to do so, according to Daniel Hodson, Chairman of the CityUnited Project, risks handing the initiative to Brussels – and with it the chance to damage the City’s “European leadership” in a move he fears would represent a “existential crisis” for the Square Mile, as well as a threat to the £40 billion in tax revenue it generates annually. Central bank digital currencies (CBDCs), also known as digital fiat currencies or digital base money, were inspired by Bitcoin but are not cryptocurrencies in their own right.

The first CDBC to be issued by a major economy is China’s digital renminbi, which began public testing in April.

Mr Sunak announced the formation of a taskforce to coordinate “exploratory work” on Britain doing the same in the same month, telling a financial industry conference, “The consultation process aims to deliver a rulebook that is fair, outcomes-based, and supports competitiveness, while ensuring the UK maintains the highest regulatory standards.”

In response to the Treasury’s announcement of the new taskforce, he tweeted the sole word “Bitcoin.”

However, five months later, no information regarding when a UK-based CBDC would become a reality remain unknown – and Mr Hodson believes there is no time to waste.

“Having an early Sterling Central Bank Digital Currency released, firstly for City transactions, may create a major first Western mover advantage for Britain,” he told this website.

“China is about to do it; it is on its way to the EU and the US, and we have the know-how, the resources, the people, and the leadership abilities, but not the will.”

“Forget about a retail – digital pound in your pocket – version,” Mr Hodson said, “that can and should come later.”

“The earliest possible wholesale (i.e. City) based Sterling CBDC may strengthen UK geopolitical soft power, considerably boost our national security, and provide prompt protection for City markets,” says the report.

Mr Hodson claims that the EU and the US have already developed official measures that will “inevitably” lead to digital dollars and euros.

Failure to do so, according to Daniel Hodson, Chairman of the CityUnited Project, risks passing the initiative to Brussels -. “Brinkwire News in Condensed Form.”

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