A wholesale CBDC may have several benefits  • Cross-border use of a CBDC may be explored as a more efficient alternative for remittances • Remittances using a structure of correspondent institutions are expensive and usually take time to settle. On the other hand, crypto-based alternative may be more efficient, but they are unregulated and have risks. • The cross-border use of CBDC would reap the benefits of crypto-based methods, without their risks. It certainly would require coordination between the central banks involved. On the other hand, some concerns have still not been fully addressed: a. Development and management costs of a CBDC, specially a retail CBDC that is available for a large number of people, can be substantial. Technical capacity is still not mature enough, and risks of cyberattacks are exacerbated. b. The level of anonymity that the CBDC should have is still a matter of discussion. In digital networks it can be easy to identify anonymous users due to their links to non-anonymous nodes, such as large companies. The public is already frightened by how much sensitive individual information is stored (NSA, Uber, Google, Facebook…), it is possible that a CBDC could create anonymity concerns. Page 8 of 11  Central Bank of Chile September 2019  c. Some of these concerns end up in a discussion about which is the optimum design features: anonymous or pseudo-anonymous? Interest bearing? Guaranteed convertibility of bank deposits into CBDCs?
Sources: The Bureau of Labour Statistics, Eurostat and the IMF  BIS Review 100/2008  11  GDP growth in Sweden Quarterly changes in per cent calculated at an annual rate, seasonally-adjusted data 8  8  7  7  6  6  5  5  4  4  3  3  2  2  1  1  0  0 -1  -1 00  01  02  03  04  05  06  07  08  09  10  11  Note. Broken columns refer to the Riksbank’s forecasts in M PR 2008:2. Sources: Statistics Sweden and the Riksbank  Employed 1000s of persons, seasonally-adjusted data 4800  4800 Employed (ILO-definition) Employed (EU-definition)  4600  4600  4400  4400  4200  4200  4000  4000 00  01  02  03  04  05  06  07  08  09  10  11  Note. Broken line represents the Riksbank’s forecast in the M PR 2008:2. Sources: Statistics Sweden and the Riksbank  12  BIS Review 100/2008  Unemployment Per cent of labour force, seasonally-adjusted data 10  10  8  8  6  6  4  4  2  2  0  0 00  01  02  03  04  05  06  07  08  09  10  11  Note.