{"id":3322,"date":"2022-04-12T13:13:54","date_gmt":"2022-04-12T13:13:54","guid":{"rendered":"https:\/\/cryptoheretostay.com\/?p=3322"},"modified":"2022-04-12T13:13:55","modified_gmt":"2022-04-12T13:13:55","slug":"south-african-central-bank-governor-regulators-and-policymakers-must-be-involved-in-shaping-potential-move-to-dlt-markets","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=3322","title":{"rendered":"South African Central Bank Governor: Regulators and Policymakers Must Be Involved in Shaping Potential Move to DLT Markets"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p><strong>The head of the South African central bank has insisted that regulators and policymakers should be involved in directing any potential move to markets that are based on distributed ledger technology (DLT).<\/strong><\/p>\n<h2>Pondering the Implications of Innovation<\/h2>\n<p>The governor of the South African Reserve Bank (SARB), Lesetja Kganyago, has argued that central banks, regulators, and policymakers should and must play a role in \u201cshaping a potential move to DLT-based markets.\u201d<\/p>\n<p>According to Kganyago, these stakeholders can achieve this objective by \u201cpondering the implications of innovation, promoting responsible innovation for the public good.\u201d In addition, they can also do this by \u201cinforming an appropriate policy and regulatory response.\u201d<\/p>\n<p>In his virtual address following the launch of the Project Khokha 2 (PK 2) report, Kganyago shared his views concerning the future of central banks in a world that is based on the principles of decentralization. He said:<\/p>\n<p>From a regulatory perspective, I think it is unlikely that decentralised markets will be suitable in all instances or that decentralisation will guarantee the achievement of public policy objectives such as consumer protection, financial stability as well as safety and soundness, which fall within the mandates of central banks and regulators.<\/p>\n<p>The governor nonetheless concludes in his address that the role of central banks and regulators should \u201cevolve with financial markets\u201d to ensure they stay relevant in future markets just as they are relevant now.<\/p>\n<h2>Experiment No Indication of Support<\/h2>\n<p>Meanwhile, Kganyago revealed that during the second phase of the project, PK2 had explored the implications of \u201ctokenisation in financial markets through a proof-of-concept (POC) that issued, cleared and settled SARB debentures using distributed ledger technology (DLT).\u201d PK2 also examined \u201chow settlement in central bank money and commercial bank money can happen on DLT.\u201d<\/p>\n<p>The SARB governor clarified in remarks that the PK2 experiment did \u201cnot signal support for any particular technology\u201d or a change in policy direction.<\/p>\n<p>According to Kganyago, in the initial experiment, dubbed PK1, the central bank and its partners had explored \u201cthe use of DLT for interbank settlements by successfully replicating some functions of the South African real-time gross settlement (RTGS) system on DLT.\u201d<\/p>\n<p><em><strong>What are your thoughts on this story? Tell us what you think in the comments section below. <\/strong><\/em><\/p>\n<p>Terence Zimwara <\/p>\n<p class=\"article__body__author__info__about\">\nTerence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.<\/p>\n<p><i class=\"td-icon-font td-icon-linkedin\"\/><\/p>\n<p><i class=\"td-icon-font td-icon-twitter\"\/><\/p>\n<p><i class=\"td-icon-font td-icon-telegram\"\/><\/p>\n<p class=\"images_credits\"><em>Image Credits: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n<p><strong>Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<p>More Popular NewsIn Case You Missed It<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/news.bitcoin.com\/south-african-central-bank-governor-regulators-and-policymakers-must-be-involved-in-shaping-potential-move-to-dlt-markets\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The head of the South African central bank has insisted that regulators and policymakers should be involved in directing any potential move to markets that are based on distributed ledger technology (DLT). Pondering the Implications of Innovation The governor of the South African Reserve Bank (SARB), Lesetja Kganyago, has argued that central banks, regulators, and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3323,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[1],"tags":[],"class_list":["post-3322","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-updates"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3322","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3322"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3322\/revisions"}],"predecessor-version":[{"id":3324,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3322\/revisions\/3324"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/3323"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3322"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3322"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3322"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}