Priscilla Koo Wilkens

Is correspondent banking economically viable? Check the #BISBulletin on next generation #CorrespondentBanking, which discusses the role of #tokenisation and the #UnifiedLedger in cross border payments bis.org/publ/bisbull87.htm

Anti-money laundering and countering the financing of terrorism screening processes provide integrity to cross-border transactions. How can tokenisation and next generation correspondent banking streamline these processes? #BISBulletin bis.org/publ/bisbull87.htm

The #tokenisation of #CorrespondentBanking, as embodied in #ProjectAgorá, could help streamline pre-screening and atomic settlement, and pave the way for collaborative customer verification and anti-money laundering procedures #BISBulletin bis.org/publ/bisbull87.htm

#FastPayments are a key innovation that have seen mass adoption in some jurisdictions, but not in others. Adoption may be higher when certain design features are present bis.org/publ/qtrpdf/r_qt2403… #DigitalPayments #BISQuarterly

A user-centric approach, robust infrastructure, clear rules and effective governance are important design features for adoption of #FastPayments. Find out more: bis.org/publ/qtrpdf/r_qt2403… #BISQuarterly

Greater transparency about #Stablecoin reserves has an ambiguous effect on run risk when reserves are not volatile. When reserves are volatile, stablecoin pegs can withstand small shocks but not large ones #Crypto #Runs bis.org/publ/work1164.htm

Digitalisation is a powerful force for emerging markets, but #DigitalDivides persist. Quality improvements and decreasing income inequality are strongly linked with digital technology adoption. Targeted subsidies are one option to expand #Digitalisation bis.org/publ/work1166.htm

Achieving the core principles of crypto-based #DeFi reliant on oracles has drawbacks: it adds inefficiencies from consensus mechanisms and it needs to sacrifice “trust in intentions”. A centralised, trust-based system may offer an alternative path bis.org/publ/bisbull76.htm

Decentralised oracles could lower manipulation in #DeFi but integrating trust in an inherently trustless system needs more than full decentralisation. Crypto-based #DeFi is likely to remain the preserve of cryptoassets, not real-world assets bis.org/publ/bisbull76.htm

Crypto based #DeFi relies on oracles to import real-world data into their blockchain applications, but these centralised third parties introduce risks and inefficiencies. Can we overcome these problems? #Decentralisation #Blockchain bis.org/publ/bisbull76.htm

#Tokenisation can automate transactions involving money as well as financial and real assets. This opens the way to contingent transfers of claims and combining transactions through #SmartContracts #BISBulletin bit.ly/40ZNxj7

#Tokenisation efforts should concentrate on identifying assets in digital and automated systems with clear legal and regulatory frameworks that are traded in large volumes #BISBulletin bit.ly/40ZNxj7

Economic, legal and technical challenges span a “tokenisation continuum”: per-unit gains are modest where #Tokenisation is easiest, and largest where tokenisation faces significant challenges #BISBulletin bit.ly/40ZNxj7