KSA Injects Nitro on CBDC Study. Plans to Rely Less on Oil

  • Saudi Central Bank is intensifying its study of Central Bank Digital Currencies (CBDCs)
  • SAMA collaborates with local fintech that focuses on domestic CBDC use cases.
  • The move is a component of Saudi Vision 2030

The Saudi Central Bank (SAMA) is intensifying its study of Central Bank Digital Currencies (CBDCs), but has not yet announced a deployment.

The move is a component of Saudi Vision 2030, a plan to lessen the kingdom’s reliance on oil, diversify its economy, and grow public service sectors, including health, education, infrastructure, recreation, and tourism.

The bank announced it was collaborating with local banks and fintech on a phase of a project that focused on domestic wholesale CBDC use cases. Consequently, local banks and payment providers will play a significant role in the CBDC initiative and its execution.

However, it was verified that no final decision had been made to introduce a digital currency in the Middle Eastern country.

SAMA is researching numerous facets of a state-issued digital currency, such as its economic impact, market readiness, and applications for a CBDC-based payment solution. It also plans to examine policy, legal, and regulatory factors.

In 2019, SAMA successfully executed “Project Aber,” a CBDC experiment. It examined with the Central Bank of the United Arab Emirates (UAE) whether blockchain technology may contribute to international payments.

In related news, the European Union imposes stringent cryptographic regulations on banks. The European Union makes an unexpected revelation that puts the majority of the Twitter crypto community in shock. 

Banks must hold one euro of own capital for every euro they hold in cryptocurrencies, according to the announcement. The official decision was made by the Economic and Monetary Affairs Committee of the European Parliament.

disclaimer read more

Crypto News Land (cryptonewsland.com) , also abbreviated as “CNL”, is an independent media entity — we are not affiliated with any company in the blockchain and cryptocurrency industry. We aim to provide fresh and relevant content that will help build up the crypto space since we believe in its potential to impact the world for the better. All of our news sources are credible and accurate as we know it, although we do not make any warranty as to the validity of their statements as well as their motive behind it. While we make sure to double-check the veracity of information from our sources, we do not make any assurances as to the timeliness and completeness of any information in our website as provided by our sources. Moreover, we disclaim any information on our website as investment or financial advice. We encourage all visitors to do your own research and consult with an expert in the relevant subject before making any investment or trading decision.

José is a crypto enthusiast who trades crypto night and day. He loves to share his trading stories and experiences in all his published articles. José likes to hang out and travel to meet new friends. Enjoys sushi, vodka, and tequila.