Taiwan’s Central Bank Announces Complex Journey Toward Digital Currency, Plans Public Hearings

Taiwan’s central bank announced on Sunday that it has no specific timetable for the launch of a digital currency, highlighting the extensive and intricate nature of the process. The bank revealed that public hearings will be conducted next year to increase awareness and understanding of the proposed digital currency among the public.

The central bank has been diligently working on a pilot project for a government-issued digital currency. This initiative aims to enable people to use a digital wallet for payments, eliminating the need for debit or credit cards. The bank’s report to parliament emphasized that, despite the absence of a launch timeline, ongoing research and experimentation are enhancing the efficiency and innovative applications of Taiwan’s payment systems.

Governor Yang Chin-long is scheduled to address lawmakers on Monday, where he will provide further insights into the project. The bank underscored the necessity of widespread communication regarding the digital currency, given its potential impact on the population. The planned public hearings and forums are part of this effort to disseminate knowledge about the currency.

“The promotion of central bank digital currency is a huge and complex project that will need to be carried out for a long time,” the bank stated. This initiative is part of a broader global trend, with 134 countries representing 98% of the global economy currently exploring digital versions of their currencies. Over half of these nations are in advanced stages of development, pilot testing, or have already launched their digital currencies, according to a study published in March.

Supporters of digital currencies argue that they offer new functionalities and provide an alternative to physical cash. However, these currencies have also sparked protests in various countries due to concerns over potential government surveillance.

As Taiwan navigates this complex transition, the central bank’s approach underscores the importance of careful planning and public engagement to ensure a smooth and informed rollout of its digital currency.