The U.K. government said Monday that a digital currency is likely needed, as countries around the world examine the changing nature of payments.
A statement issued by both the U.K. Treasury and the Bank of England said they were seeking comments, though they said no decision has yet to be taken. The consultation will run through early June, and a decision about whether to implement a digital pound will be taken around the middle of the decade. The earliest stage at which the digital pound could be launched would be the second half of the decade.
The financial authorities said they envision a digital pound as having equivalent value to existing cash.
“As the world around us and the way we pay for things becomes more digitalized, the case for a digital pound in the future continues to grow. A digital pound would provide a new way to pay, help businesses, maintain trust in money and better protect financial stability,” said Bank of England Gov. Andrew Bailey in a statement. U.K. Chancellor of the Exchequer Jeremy Hunt made a similar comment.
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