In this regard, I take this opportunity to share with you that the Bank of Italy will participate in the BIS Innovation Hub’s “Nexus proof-of-concept” to develop a model for connecting multiple national instant payment systems. In dealing with innovative payment arrangements, we have paid special attention to two important challenges: global stablecoins and central bank digital currencies.
On the former issue, the Financial Stability Board has defined ten recommendations for the regulation, supervision and oversight of global stablecoin arrangements which jurisdictions need to implement; the G20 has reiterated that no stablecoin project can be started until these tools meet the necessary legal, regulatory and oversight requirements.