Central Bank of Taiwan: “The development of the state stablecoin will take a few more years”

Taiwan’s central bank is developing its own digital currency, which could take at least two years to research and test.

Speaking at a forum dedicated to digital currencies, Taiwan Central Bank Chairman Yang Chin-long said that over the past two years, the regulator has been working on a pilot project to create a national digital currency (CBDC). Its main purpose is to enable people to make payments and settlements with digital Taiwan dollars and a dedicated digital wallet without using a debit or credit card.

Chin-lung added that the central bank has three main tasks regarding digital currency: engaging with the public and obtaining feedback, creating a stable structure for the central bank digital currency, and developing a regulatory framework for conducting transactions with CBDC. The chairman of the central bank stressed that this may require at least two years, after which it will be necessary to conduct regular tests. Therefore, Chin-long found it difficult to name the exact timing of the launch of the Central Bank’s digital currency.

“The people of Taiwan are used to paying with cash. But we need to move forward. After all, most people use mobile phones, and we should think about the next generation,” said Taiwan Central Bank Chairman.

Last week, the regulator warned the public about the risks of investing in non-fungible tokens (NFTs) due to increased fraud and the speculative nature of tokens.