Fiat Freeway: Norges Bank studies CBDC’s effect on ‘Safe Asset’ Funding

Quick Take

  • ‘Fiat Freeway’ is a weekly column providing the latest updates on central bank digital currencies (CBDCs) and Stablecoins. 
  • Pieces thus far have focused on the ECB’s ‘digital euro’ initiative and the Fed’s classification of CBDC literature to date. 
  • This week’s column starts with an overview of Norges Bank’s third CBDC report, which considers the potential impact CBDC issuance would have on bank funding markets and overall financial system stability.
  • Lastly, a look at Norges Bank Deputy Governor Ida Wolden Bache’s presentation on CBDC and real-time payments at ‘Finance Norway’s Payments Conference.’

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