RBA Governor: The RBA is studying how its settlement infrastructure can adapt to new types of digital currencies

ChainCatcher news, according to Bloomberg, Reserve Bank of Australia Governor Michele Bullock emphasized that policymakers, the government, and the industry are driving the modernization of the national payment system, focusing on four key areas, with an emphasis on security.

She believes that innovation and resilience should mutually reinforce each other, and the RBA is collaborating with various parties for the benefit of the public. The top priority is to upgrade the interbank payment infrastructure, starting with the high-value electronic clearing system, which, although reliable and cost-effective, lacks modern features such as 24/7 real-time processing; the "new payment platform" can fill this gap.

A roundtable composed of the RBA and others plans to develop an alternative vision by the end of this year, with an implementation plan to be rolled out by mid-2026, during which costs, traditional methods, and user priorities will be weighed.

The second priority is to enhance cross-border payments, making international transfers more efficient and transparent. The third is to combat fraud and scams, requiring continuous innovation, including migrating card systems to advanced encryption standards to address quantum computing. Finally, strengthening operational resilience is crucial; the RBA is studying how interconnections between systems can exacerbate failures and how its own settlement infrastructure may need to adapt to new digital currencies, including central bank digital currencies.

Additionally, the central bank will ensure the circulation of cash, and the decline in cash usage has prompted regulators to consult on new rules.