Central Bank Digital Currency (CBDC) and Programmable Money

Why Choose Garranto Academy for Your CBDC and Programmable Money Education ?

Opt for Garranto Academy for CBDC and Programmable Money education, where our courses blend theoretical knowledge with practical insights, preparing you to lead in the era of digital currencies and programmable finance.

Course Overview:

This comprehensive 1-day course on Central Bank Digital Currency (CBDC) and Programmable Money explores the evolution of money, the rise of programmable money, and foundational concepts of Distributed Ledger Technology (DLT). Participants will delve into the essential understanding of CBDC, design choices, ecosystem considerations, use cases, and the global landscape of CBDC implementation. The course combines theoretical knowledge with real-world case studies from various continents, providing a holistic perspective on the transformative impact of CBDCs on the global financial landscape.

What You'll Learn in Our CBDC and Programmable Money Course ?

Course Objectives:

• Understand the historical evolution of money from traditional forms to digital currencies, including its functions.
• Explore the rise of programmable money and gain insights into the concept of Central Bank Digital Currency (CBDC).
• Acquire foundational knowledge of Distributed Ledger Technology (DLT), blockchain, and smart contracts.
• Comprehend essential features of CBDC, including issuance, redemption, and settlement.
• Identify elements within the CBDC ecosystem and evaluate motivations driving CBDC implementation.
• Align CBDC design choices with desired policy outcomes.
• Explore diverse CBDC use cases and understand their role in global financial landscapes.
• Analyze case studies from different continents, examining motivations, challenges, and impacts.
• Identify trends and patterns in the evolving landscape of CBDC use cases.
• Investigate global trends and future developments, including projects by the Bank of International Settlements (BIS).

Prerequisites:

• It is typically expected that participants have a fundamental understanding of blockchain technology and basic Understanding of Financial Concepts.
• Basic familiarity with technological concepts, particularly Distributed Ledger Technology (DLT) and blockchain, is recommended.

Course Outline:

Module 1: Evolution of Money, Programmable Money, and Essential Concepts of CBDC

• Introduction to the Evolution of Money
• Definition of Money and its Functions
• Evolution of Money from Barter System to Fiat to Digital Currencies
• Functions: Medium of Exchange, Unit of Account, Store of Value
• Rise of Programmable Money & CBDC
• Concept of Programmable Money - drivers, approaches, and technologies
• DLT - The Technology Enabler for Programmable Money
• Foundational Concepts of DLT
• Introduction to Distributed Ledger Technology (DLT)
• Foundations of Blockchain and Smart Contracts
• Essential Understanding of CBDC
• Definition of Central Bank Digital Currency
• Core Features of CBDC - Issuance, Redemption and Settlement
• Types of CBDC
• Retail CBDC (rCBDC) and Wholesale CBDC (wCBDC)
• Multi CBDC (mCBDC) and Purpose-Bound Money

Module 2: Design Choices and Ecosystem Considerations for Central Bank Digital Currencies (CBDCs)

• Introduction to CBDC Ecosystem Elements
• Multiple elements and functions within a CBDC ecosystem
• Significance of core ledger, supporting infrastructure, and rules
• Roles of central banks, processing providers, and user services
• Motivations and Goals in CBDC Implementation
• Economic rationale for the use of CBDCs compared to other payment instruments.
• Evaluating motivations and goals driving CBDC implementation.
• Recognizing parallels with traditional payment systems in CBDC design.
• Aligning CBDC design with desired policy outcomes
• CBDC Design Choices & Interoperability
• Direct CBDC & Indirect CBDC Issuance
• Implications for participants in the CBDC system and Interoperability with existing payment rails
• Operating a core ledger for issuing, redeeming, and settling CBDC.
• Challenges and Oversight in CBDC Ecosystem

Module 3: CBDC Use Cases and Global Landscape

• CBDC Use Cases
• Overview of CBDC Applications xploring the diverse use cases for Central Bank Digital Currencies (CBDCs) Understanding how CBDCs address specific needs in the global financial landscape.
• The Role of CBDCs in Financial Inclusion Examining the potential impact of CBDCs in promoting financial inclusion Case studies illustrating successful financial inclusion initiatives.
• Global Landscape of CBDC Implementation
• Overview of CBDC Implementation Worldwide Surveying the current global landscape of CBDC development and adoption Highlighting key initiatives and progress in various regions
• Factors Influencing CBDC Adoption Identifying geopolitical, economic, and technological factors shaping CBDC adoption CBDC Alternatives - Stable Coins based approach for adoption on Public Blockchains
• Case Studies from Each Continent
• North America: Project Hamilton is a multi-year collaboration between the Boston Federal Reserve Bank and MIT's Digital Currency Initiative Overview of the Project Hamilton and its objectives in driving openCBDC Analysing how the project contributes to the broader CBDC narrative in North America
• Europe: "Digital Euro" Initiative by ECB Examining the European Central Bank's Digital Euro initiative Understanding the motivations, challenges, and potential impact on the European financial landscape
• Asia: “e rupee" by Reserve Bank of India Deep diving into India's implementation of the Digital Currency e rupee.
• Assessing the implications for cross-border transactions and global financial dynamics
• South America: "Digital Peso" in Uruguay Overview of Uruguay's Digital Peso initiative Evaluating the regional implications and challenges faced in South America
• Africa: “eNaira" by Central Bank of Nigeria Exploring the eNaira project and its significance in the African context Analysing the potential impact on financial inclusion and adoption
• Australia: "Project Atom" by Reserve Bank of Australia Investigating the implementation of the Project Atom in Australia Understanding the unique use cases and challenges faced in the Australian continent.
• Global Trends and Future Developments
• Money Flower by Bank of International Settlements Multi/Corridor CBDC Projects by BIS - LionRock 2, Jura, Dunbar, mBridge
• Identifying trends and patterns in the evolving landscape of CBDC use cases.

Course Outcomes:

Upon completion of the course "Central Bank Digital Currency (CBDC) and Programmable Money" participants will be able to:

• Develop comprehensive understanding of CBDC concepts.
• Attain technical proficiency in DLT, blockchain, and smart contracts.
• Make strategic decisions aligned with CBDC design choices and ecosystem considerations.
• Be aware of challenges and oversight mechanisms in the CBDC ecosystem.
• Analyze diverse CBDC use cases and their role in the global financial landscape.
• Develop awareness of the global CBDC implementation landscape, key initiatives, and emerging trends.

Benefits of Central Bank Digital Currency (CBDC) and Programmable Money

Unlock financial innovation and efficiency with CBDC and Programmable Money, fostering a dynamic economy by enabling programmability and enhancing transaction speed and security.

How CBDC and Programmable Money Can Transform Financial Systems ?

Experience a paradigm shift in financial systems with CBDC and Programmable Money, offering programmability and transparency, revolutionizing transactions, and paving the way for a more agile and inclusive monetary ecosystem.