Oct. 4, 2022 – The U.S. Faster Payments Council (FPC), a membership organization devoted to advancing safe, easy-to-use faster payments in the United States, today published the Cross-Border Payments Bulletin.01 in its Faster Payments Knowledge Center. The FPC Cross-Border Payments Work Group developed the industry bulletin as an introduction to Central Bank Digital Currencies (CBDCs) and their effect on cross-border faster payments.
This first edition of the FPC Cross-Border Payments Work Group Bulletin provides definitions of digital currency terms, drills down until what CBDCs are, and gives examples of cross-border operating models. The series of bulletins is designed to educate the payments industry on the latest developments of CBDCs in the cross-border faster payments area.
"CBDCs have the potential to transform the role of both domestic and international banks, particularly when it comes to cross-border payment transactions,” said Barry Tooker, Principal at TransactionBanker.com and FPC Cross-Border Payments Work Group Chair. “The FPC Cross-Border Payments Work Group is pleased to present this first of a series of bulletins as a primer on the possible impacts and implications of CBDCs on the long-held correspondent banking policies, practices, and procedures.”
There is much to be learned as central banks continue to assess the impacts, implications, benefits, and risks of the issuance of CBDCs. Through the issuance of future bulletins, the FPC Cross-Border Payments Work Group will not only provide the latest information about CBDCs but explore factors that need to be considered such as the technology frameworks and the regional and local legal and regulatory rules and mandates.
The FPC prioritizes inclusion of diverse perspectives in tackling complex topics such as interoperability, identifying real-world solutions that can ease adoption of faster payments, managing security risks and fraud threats, addressing barriers to financial inclusion and cross-border payments, and more, as the organization paves the way toward a future of faster payments for all.
For more information on the FPC, its current work efforts or to join, visit FasterPaymentsCouncil.org.
U.S. Faster Payments Council
About the U.S. Faster Payments Council (FPC)
The FPC is an industry-led membership organization whose vision is a world-class payment system where Americans can safely and securely pay anyone, anywhere, at any time and with near-immediate funds availability. By design, the FPC encourages a diverse range of perspectives and is open to all stakeholders in the U.S. payment system. Guided by principles of fairness, inclusiveness, flexibility and transparency, the FPC uses collaborative, problem-solving approaches to resolve the issues that are inhibiting broad faster payments adoption in this country. For more information, please visit FasterPaymentsCouncil.org.