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This paper examines the impact of Central Bank Digital Currencies (CBDCs), regulated stablecoins and tokenized traditional assets on the cryptocurrency market, following the guidelines set by the Basel Committee. This study aims to analyze the implications for secure storage, cross-border transfers and necessary investments.

The paper uses a policy analysis approach to assess the potential effects of the Basel Committee’s regulations on CBDCs, regulated stablecoins and tokenized traditional assets. It explores their impact on the cryptoasset market, strategies of central and commercial banks, payment systems and risk management.

The adoption of CBDCs, regulated stablecoins and tokenized traditional assets is expected to grow rapidly in the coming years. It raises concerns about secure storage, cross-border transfers and required investments. Central banks are likely to introduce CBDCs and authorize stablecoin issuance, aiming for efficient monetary policies and risk management. Basel III regulations may lead to asset tokenization by banks, reducing asset size and increasing fee-based income.

This paper provides insights into the potential impact of the Basel Committee's regulations on CBDCs, regulated stablecoins and tokenized traditional assets. It contributes to the understanding of the evolving cryptoasset market and the strategies of central and commercial banks in adopting these technologies. The findings offer valuable information for policymakers, regulators and market participants in navigating the changing landscape of digital assets.

This study attempts to quantify the degree of independence of Central Bank of India from both legal and behavioural contexts over the period 1990–1991 to 2018–2019, a period encompassing major developments in the operation and regulation of Reserve Bank of India (RBI).

We followed Jasmine et al. (2019) to calculate the magnitude of de jure independence of RBI and for de facto independence, “turnover rate (TOR) of CB governor” as proposed by Cukierman et al. (1992) is applied.

The results report that the legal autonomy of RBI increased specifically after the reforms and post formulation of Monetary Policy Committee (MPC). However, the actual independence of RBI remains more or less in line within the critical threshold limit of 0.2.

The study proposes effective implementation of laws and procedures designed to promote the independence of Central Bank of India imperative for an effective monetary operation along with a coordinated fiscal policy.

Targeted study of a particular central bank on its “independence” aspect in general and of the Reserve Bank of India in particular has not been attempted as on date. It is to this end that the present study contributes.

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-02-2023-0098.

This chapter first reviews the current stages of retail CBDC development before examining some of the common characteristics of retail CBDC projects being proposed in various jurisdictions. This chapter then examines the possible future of retail CBDC going forward.

This chapter examines why the central banks might need to engage in innovation work. Externalities and public good rationales for innovation at central banks are examined. This chapter then looks at different tools such as sandboxes, innovation hubs and TechSprints that the central banks might use to promote innovation with external stakeholders, and how the central banks can promote internal innovation within the central banks. Governance issues related to innovation promotion are also examined.

This study aims to explore the linguistic and syntactic textual features of Central Bank of Nepal (Nepal Rastra Bank [NRB])’s monetary policy. Considering the recent literature and methodological advancement in computational linguistic analysis, this study intends to explore the features of published monetary policy reports.

Text mining technique has been used on the monetary policy published by Central Bank of Nepal for the period between 2002/03 and 2021/22 to describe the textual features such as length, tone, degree of forward looking, use of numerical contents and readability. The raw text was tokenized using Python’s Natural Language Toolkit. Considering the LM dictionary, the frequency of tokens matching with dictionary is computed and divided by total number of words to normalize the obtained value.

This study found that NRB publishes lengthy monetary policies during economic contractions and vice versa. The tone of the policies are pessimistic most of the time. NRB’s policies are not sufficiently forward looking and complex to be comprehended by layman. Ergo, NRB shall form a team of communication experts to ensure publication of optimistic policies with appropriate linguistic features. Furthermore, publishing the minutes of monetary policy meetings will help enhance effective communication through transparency and proper functioning of expectations channel.

To the best of the authors’ knowledge, no similar study has been conducted to assess the textual features of monetary policy in Nepal. And this study will be helpful to gauge the status of central bank communication in the context of emerging and least developed countries.

This chapter first reviews some of the background concepts on central bank digital currency (CBDC) to provide a broad context, before diving into wholesale CBDC often a starting point for central banks to build CBDC prototypes based on distributed ledger technology (DLT), as it involves less complexity in experimentation. This chapter also examines cross-border CBDC, often an extension of wholesale CBDC prototypes based on DLT. The next chapter will then discuss retail CBDC as well as the prospects of economy-wide roll out of CBDC going forward.

This chapter first reviews the central banks' two key remits, monetary stability and financial stability, and examines how they will be affected either directly or indirectly by the emerging challenges relating to walled gardens, shadow banking, singleness of the money, customers' data rights, artificial intelligence (AI) ethics, cybersecurity and financial exclusion. This chapter will then review three possible areas of responses that the central banks might take to address the emerging challenges: (1) regulations, (2) promotion of open digital infrastructures and (3) central banks' capabilities upgrade. This chapter will then review possible tools that the central banks might use to implement actions in those three key areas.

This chapter reviews digital payment infrastructures at the retail, wholesale and cross-border levels, available operating and governance models and trade-offs. Various developments in the field of digital payments, key challenges and the role of the central banks in helping to address those challenges are introduced. This chapter starts by examining issues in retail payments, before moving on the wholesale and large-value payments, real-time gross settlement (RTGS) which is the core settlement of payment systems before examining cross-border payments. This chapter ends with an overview of the role of central banks in promoting digital payment infrastructures.

This chapter looks at the need for the central bank to shift their mindset more towards resilience instead of stability at all costs, as well as embracing innovation, experimentation and testing. The chapter then looks at the need for the central bank to upgrade their mode of operations, particularly to achieve a better balance between rules-based and goals-based regulations, and a more collaborative approach towards stakeholders. This chapter ends by looking at the need for digital transformation of central banking operations, both for those external oriented, e.g. SupTech and RegTech, and those internal-oriented.

The research explores the intricate relationship between the central bank's main rate and the gross domestic product (GDP) growth in Uzbekistan while also considering the challenges and benefits associated with transitioning to International Financial Reporting Standards (IFRS). As an emerging economy, Uzbekistan has recently implemented significant economic reforms. This study investigates the role of the central bank's interest rate policy in shaping the country's economic growth and the impact of adopting IFRS on its financial transparency and investment climate. The Law of the Republic of Uzbekistan “On the Central Bank of the Republic of Uzbekistan” defines the task of developing and implementing monetary and credit policy of the Central Bank of the Republic of Uzbekistan, including currency policy. This research analyzes the effect of the refinancing rate of the Central Bank on the GDP of Uzbekistan. The authors applied the correlation methods of Tau-b Kendall and Spearman. During the research, the authors observed quarterly indicators from 2016 to 2022; the number of observations was 26. On this basis, the authors conclude that the Central Bank's policy of setting the main rate for the last seven years did not serve the GDP growth. The authors proposed establishing a scientific council to determine the Central Bank's refinancing rate and improve scientifically based monetary policy.