Response to the Bank of England on the Digital Pound

In this episode, we present an audio version of Bitcoin Policy UK's response to the Bank of England’s consultation on privacy and the digital pound (CBDC).

🔑 Key themes covered:

• Why we remain opposed to the introduction of a UK CBDC, seeing it as a “solution in search of a problem.”
• The unique privacy features of physical cash, and why a digital pound cannot replicate them.
• The risks of a tiered wallet system that trades usability for personal data, undermining both privacy and financial inclusion.
• Concerns over the Bank’s proposed “pass-through” model, which could create a surveillance honeypot of personal and transaction data.
• Why we argue that if any digital pound were to be created, the “least worst” option would be a Chaumian e-cash system, preserving anonymity and functioning as a true digital bearer instrument.
• The discriminatory nature of KYC requirements in CBDCs, which would exclude many of the very people cash currently serves.
• Broader economic and ethical concerns, including conflicts of interest with stablecoin markets and the enormous cost of maintaining a CBDC infrastructure.

📄 Read the full written paper here:
👉  Response to the Bank of England on the Digital Pound

To find out more about Bitcoin Policy UK's work and how you can get involved, visit:

https://bitcoinpolicy.uk/