The United Kingdom has revealed the launch of a new design for a digital currency that is a copy of the pound sterling, which is scheduled to bear the name Britcoin.
The United Kingdom intends to be compatible with advanced digital money technology with this decision, and the British Central Bank will design this new currency.
Studies on the digital pound sterling
A joint investigation between the Bank of England and the British Treasury on the potential introduction of the digital currency has been announced.
We are taking a cautious approach to studying the potential consequences of this new digital currency, which will be called Britcoin.
Public backlash
The official announcement of this decision sparked a furious public reaction in the United Kingdom, with many embracing conspiracy theories.
The project's security and privacy are important concerns, and the security authorities want to make sure that any central bank digital currency development is done with care.
Pim Filmami, the Economic Secretary of the UK Treasury, has affirmed that these studies contain crucial components.
Potential design options for Britain's digital currency
Following the formal completion of the design, British authorities will assess the digital currency's viability and possible design alternatives.
In order to introduce first legislation to implement the digital pound before it reaches Parliament, the UK is also setting a timeline for future consultations on legislation and the potential launch of a UK digital currency.
Warning from the British Parliament against central bank digital currency
There would be more benefits than hazards to a digital currency produced by the central bank, according to a bipartisan committee in the British parliament.
Additionally, they voiced their apprehension that banks would withdraw their funds in the event of a crisis, leading some to consider the digital pound as a possible refuge.