At Tel Aviv Internet Finance week in 2023, Yoav Soph, a consultant to the vice president of the Bank of Israel, talked about the topic of central bank digital currency (CBDC) as an efficient cross-border payment selection.

Previously, the Bank for International Settlements (BIS) ended scientific research on international retail and remittance collection using CBDC between the central banks of Israel, Denmark and Sweden. The BIS project is called the Ice Breaking Tour Project.

Sofodo, the new project manager for CBDC, the central bank of Israel, said that while domestic payments began to become "easy, convenient and cost-effective", overseas payments were not.

According to the Financial Stability Board, cross-border payments are often felt to face the test of high input, low speed, limited browsing and lack of clarity.

Soph talked about the results of an example of buying and selling in less than two minutes. In addition, he pointed out that the model would significantly reduce the cost of international remittances and would be "more competitive at the level of foreign exchange investment".

He went on to show that the technical requirements for countries around the world to add this model are very limited, and once the prototype is established, most of the posts should be a domino effect.

Once you build it for three countries, you can build it for 180 countries. Therefore, it also has strong expansibility.

However, he did make it clear that in choosing such an option, consideration should be given to providing liquidity to CBDC service providers and the integration of their systems. 'Privacy is another key reference standard that the BIS team realized during the project period, 'Mr. Soph said.

Related to:SWIFT is positive in the conclusion and then enters the next stage of CBDC detection.

Although more than 100 countries are studying the probability of CBDC, the mood of this centralized digital currency is mixed. They have valuable levels, such as efficient cross-border transactions, although some have shown that they may endanger the future development of customers.

Christopher Jancarol, former chairman of CFTC, recently stressed that CBDC should protect personal privacy and not become a surveillance tool as many people feared. Tom Emmer, a US congressman from abroad, also commented that he could easily be weaponized to monitor US nationality.