The party is ON! Join us at TNW Conference 2021 in Amsterdam for face-to-face business!

Inside money, markets, and Big Tech

This article was published on April 19, 2021

The UK is considering creating a ‘Britcoin’ to repair Broken Britain

The digital currency would be backed by the Bank of England

The UK is considering creating a ‘Britcoin’ to repair Broken Britain
Thomas Macaulay
Story by

Thomas Macaulay

Writer at Neural by TNW — Thomas covers AI in all its iterations. Likes Werner Herzog films and Arsenal FC. Writer at Neural by TNW — Thomas covers AI in all its iterations. Likes Werner Herzog films and Arsenal FC.

The UK has joined the list of countries considering the creation of a central bank digital currency (CBDC).

Chancellor Rishi Sunak today announced a new task force that will explore the value of a CBDC, which would be issued by the Bank of England and used by households and businesses. It would exist alongside cash and bank deposits, rather than replace them.

Sunak (jokingly?) suggested the digital currency could be called “Britcoin.” Urgh.

In a statement, the Bank of England said the task force will assess the objectives, use cases, opportunities, risks, and design features of a CBDC. It will also monitor international developments “to ensure the UK remains at the forefront of global innovation.”

[Read: The biggest tech trends of 2021, according to 3 founders]

The dwindling use of cash and rise of cryptocurrencies has led a growing range of countries to investigate digital currencies. About 86% of central banks are exploring the benefits and drawbacks of CBDCs, according to the World Economic Forum.

The UK announced its plan amid growing concerns about the impact of Brexit on the UK’s financial sector. In February, Amsterdam ousted London as Europe’s largest share trading center.

While a Britcoin isn’t likely to arrest the plunge, it will at least give the country’s flag-shaggers a patriotic distraction from the turmoil.

Also tagged with