Another difficult issue relates to whether fair value is the most relevant measurement for commercial banks and other firms that are in the business of holding illiquid loans and other assets for the long term.
A payment system based on technologies and practices designed, managed and supervised elsewhere would undermine authorities’ ability to exercise their supervisory control. A situation in which the digitalisation of payments leads to most prices being quoted in a foreign or private unit of account would greatly reduce the central bank’s ability to influence monetary and financial conditions. 2.