Redefining the Monetary Standard in the Digital Age

This book discusses the future of money and monetary policy in an increasingly digital world. Despite the rise of digital currency, the monetary regime, with its key features centered on fiat money, has remained essentially unchanged since the collapse of the Bretton Woods system in the 1970s. This book explains the economics of money in a digital world in simple terms and plain language built on the most recent academic literature. While the book considers a scenario of continuity where change is more cosmetic than real, it also envisages a very different monetary future to the one that exists now. By drawing on research and policy, the book offers predictions on the monetary future and outlines a vision for money in 2050. Written by a senior central bank staff member, this insider take will be of interest to academics, students, practitioners, and policymakers interested in monetary policy and digitalization.

Explains the universe of decentralized finance, with a special focus on the blockchain Covers limitations of the current monetary system and what needs fixing Explores the consequences of entirely replacing physical cash with digital forms of money

Autorentext

Livio Stracca is the Deputy Director General for Macro-prudential Policy and Financial Stability at the European Central Bank. He has worked in policy positions in central banks since 1995 while simultaneously teaching both undergraduate and graduate courses at the University of Frankfurt J.-W. Goethe, Germany.

Inhalt

Paying across centuries.- A fundamental overhaul of monetary policy?.- Which digital money?.- What defines value?.