Vol. 54 No. 1 (2024)
FINANCIAL ECONOMY

Сurrency Integration Possibilities in the Context of Monetary Systems Digitalization

D.A. Kochergin
Institute of Economics of the RAS; St. Petersburg State University
S.A. Andryushin
Institute of Economics of the RAS
E.S. Sheshukova
St. Petersburg State University

Published 2024-02-06

Keywords

  • monetary system; currency integration; information technology; cryptocurrencies; traditional forms of money; digital currencies; central banks; central bank digital currencies

How to Cite

1.
Kochergin Д, Andryushin С, Sheshukova Е. Сurrency Integration Possibilities in the Context of Monetary Systems Digitalization. ECO [Internet]. 2024 Feb. 6 [cited 2024 Sep. 1];54(1):132-49. Available from: https://ecotrends.ru/index.php/eco/article/view/4709

Abstract

The paper considers the problem of increasing the stability of national and global monetary systems on the basis of automatic regulation of prices and exchange rates through the example of the United States. According to the authors, the role of an embedded stabilizer of traditional monetary systems can be claimed by digital currencies of central banks or bitcoin, that in the process of competition among themselves can determine the currency standard of the monetary system of the future. The options of integration of digital and traditional currencies justified in the study – conservative, transformational and fundamental – have their advantages and disadvantages. Their prospects will be determined by both economic and political factors, as well as technological and organizational capabilities of their implementation.

References

  1. Андрюшин С.А., Кочергин, Д.А. Стейблкойны как новая форма цифровых денег: эмиссия, обращение, регулирование и управление рисками // Вопросы экономики. 2022. № 6. С. 42–68. DOI: 10.32609/0042–8736–2022–6–42–68
  2. Кочергин Д.А. Современные модели систем цифровых валют центральных банков // Вестник Санкт-Петербургского университета. Экономика. 2021. № 2. C. 205–240. DOI: 10.21638/spbu05.2021.202
  3. Кочергин Д.А. Криптоактивы: экономическая природа, классификация и регулирование оборота. // Вестник международных организаций: образование, наука, новая экономика. 2021. № 3. C. 75–130. DOI: 10.17323/1996–7845–2022–03–04
  4. Adrian, T., Mancini-Griffoli, T. (2021). Public and Private Money Can Coexist in the Digital Age. International Monetary Fund (IMF). 18 Feb.
  5. Auer, R. (2022). Embedded supervision: how to build regulation into decentralised finance. BIS Working Papers. No. 811.
  6. Bhatia, N. (2021). Layered Money. From Gold and Dollars to Bitcoin and Central Bank Digital Currencies. 180 p.
  7. Bordo, M., Levin, A. (2017). Central bank digital currency and the future of monetary policy. NBER Working Paper. No. 23711.
  8. Bordo, M., McCauley, R. (2017). Triffin: dilemma or myth? BIS Working Papers. No. 684.
  9. Coeure, B., Loh, J. (2018). Central Bank Digital Currencies. Report of the Committee on Payments and Market Infrastructures and The Markets Committee.
  10. Davis, G. (2016). A History of Money: From Ancient Times to the Present Day. Fourth Edition. University of Wales Press.
  11. Dilek, S. (2019). Cryptocurrencies in the digital era: the role of technological trust and its international effects. Blockchain Economics and Financial Market Innovation. Pp. 453–474.
  12. Hofmann, B., Aaron, M., Sandri, D. (2022). Global exchange rate adjustments: drivers, impacts and policy implications. BIS Bulletin. No. 62.
  13. Murau, St., Rini, J., Haas, A. (2020). The evolution of the offshore us-dollar system: past, present and possible futures. Journal of Institutional Economics. Vol. 16. No. 16. Pp. 767–783.
  14. Panetta, F. (2022). Crypto dominos: the bursting crypto bubbles and the destiny of digital finance. Keynote speech by Member of the Executive Board of the ECB, at the Insight Summit held at the London Business School. 7 December.
  15. Qin, K., Zhou, L., Afonin, Y., Lazzaretti, L., Gervais, A. (2021). CeFi vs. DeFi – Comparing Centralized to Decentralized Finance. Cornell University, New York, 16. Jun. Available at: https://arxiv.org/abs/2106.08157v2 (accessed 20.03.2023).
  16. Siciliani, P. (2018). Competition for retail deposits between commercial banks and non-bank operators: a two-sided platform analysis. Bank of England Staff Working Paper. No. 728.
  17. Triffin, R. (1960). Gold and dollar crisis. The future of convertibility. Yale University Press, 195 p.