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Home » The IMF launches a digital currency that can be used by banks around the world

The IMF launches a digital currency that can be used by banks around the world

The Digital Currency Monetary Authority (DCMA), an agency of the International Monetary Fund (IMF), today announced the launch of a central bank digital currency (CBDC) for use by all financial institutions on the planet.

The launch was made official during the spring meeting between the IMF and the World Bank through April 16 in Washington, capital of the United States.

in one note In a press release, the DCMA describes their proposal as a Universal Monetary Unit (UMU) or Unicoin, created to “perform transactions in all legal tender”.

The note adds that it “acts as the CBDC to enforce banking regulations and protect the financial integrity of the international banking system.”

To use it, banks integrated with the SWIFT interbank payment system Attach codes and bank accounts to the UMU digital walletand carry out cross-border transactions from there.

It means the system is within reach of more than 11,000 financial institutions The integrate the SWIFT system in more than 200 countries.

By using UMU, banks would “bypass the correspondent banking system at wholesale exchange rates”. for whatThe transfers are made “at a lower cost and with real-time instant settlement,” the statement added.

The DCMA states that UMU employs “a globally located public money system architecture” and can be configured to conform “to the central bank regulations of each participating jurisdiction.”

The IMF is modernizing the banking system by giving Bitcoin a wink

UMU is launched 14 years after Bitcoin will eliminate the need for banks by enabling fast, instant, and low-cost international transactions; Properties with which the DCMA launches a strong nod to the invention of Satoshi Nakamoto.

The so-called monetary authority, however, distances itself from the first of the cryptocurrencies by clarifying that the UMU is in line with the latest crypto asset policy recommendations proposed by the IMF.

Between nine points included in the plan for how countries should regulate cryptocurrencies highlights the nature of the plea Not granting legal tender status to crypto assets like bitcoinlike El Salvador did.

As CriptoNoticias reports, the IMF has repeatedly criticized El Salvador since the Central American country became the first country in the world to adopt Bitcoin as legal tender.

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