The Future of Money: Exploring Digital Currencies | IPT
Speaker: Martin Etheridge, Martin Etheridge, Head of Note Operations, Bank of England
Breakfast Meeting

Date:

Tuesday 05 February 2019

Venue:

House of Commons

Start Time:

08:30

End Time:

09:30

Digital currencies represent innovation in both payment systems and forms of currency. Since Bitcoin launched in 2009, its rapid rise and subsequent fall in value brought the use of distributed ledger technologies into the mainstream. However, the potential impact on financial institutions, including the central bank, and financial infrastructure remains unclear. While the FCA has identified potential benefits, such as the reduction of transaction costs and timings, the Bank of England’s financial Policy Committee concluded that digital currencies do not currently pose a risk to monetary or financial stability in the UK. As the Government continues to understand and prepare for changes that may result from digital currencies, how can regulation balance the need to provide adequate protection for financial infrastructure, consumers and businesses without stifling innovation?

 

This breakfast meeting will:

  • Consider the opportunities and risks that crypto-assets may bring to consumers, businesses and the UK government
  • Explore whether digital currencies are capable of replacing traditional means of payment
  • Discuss what lessons the UK can learn from the approach of overseas governments and regulators to digital currencies
  • Review the existing regulatory framework and how this will evolve to match developments in digital currencies.