The head of the Central Bank of the Philippines, Benjamin Diocno, at one of the recent events organized by the department, said that the relevant specialists of the Central Bank launched a pilot project to create a CBDC.
“The financial system around the world continues to actively transform and develop. As much as we would like to, we cannot silently watch this. New forms of money persistently challenge the traditional financial sector, which for many years functioned by its own rules and principles. Against this background, digital assets began to attract the attention of not only private investors and so-called “traders”, but also Central Banks, including the Philippine one,” the head of the Central Bank emphasized in his speech.
The development of the state cryptocurrency, Diokno argues, will not only strengthen the financial system of the Philippines but will also allow you to quickly organize the procedure for assisting citizens from the government.
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“The outbreak of coronavirus infection made it clear to us that in the process of distributing monetary assistance to the population, order, financial literacy, and strict control are very important. It is precisely these qualities that, without a doubt, the system for distributing funds of the Central Bank will begin to have after the introduction of the CBDC,” the head of the Central Bank added.
In addition to the benefits that come with using a CBDC, Diokno also highlighted the challenges that the traditional financial sector can face for everyone present at the event.
“Our system, which has been working for many years without any failures, unfortunately, will not be able to change its established functions in one day due to the introduction of a state asset. So, our specialists will still need a lot of time to adjust the opening of crypto deposits and the issuance of loans in CBDC coins in a new way,” Diokno summed up.