News Center

MasterCard CEO: swift system will be replaced by central bank digital currency within five years

With the increasing importance of blockchain technology in financial markets, it has become a major focus at this year's world economic forum.

Recently, Michael Miebach, CEO of MasterCard, said at a panel discussion sponsored by the global blockchain Business Committee at the world economic forum that with the popularity of central bank digital currencies (CBDC), swift may no longer exist in five years.

At present, almost all major central banks in the world are implementing the digital currency plan. The International Monetary Fund (IMF) has also been crying out for the need for a global digital currency system in the near future to provide "stability" in the face of national inflation crises.
Since this year, the West has dropped a "financial bomb" on Russia, kicking the main central banks of Russia out of the swift system, leading Russia to find alternatives. Analysts say this has also accelerated the global move away from the dollar denominated structure.

However, the emergence of a large number of new central bank digital currencies has also raised concerns. Some analysts believe that price fluctuations may be as unstable as bitcoin and other cryptocurrencies. This means that for ordinary consumers, the purchasing power of money will be highly uncertain.
For this problem, the analysis said that this provided a reason for the IMF and the world economic forum and other organizations to establish a global basket system (such as special drawing rights SDR), stabilize and homogenize various central bank digital money markets, making them a single centralized entity, so as to "save the situation".

The panellists also included Jennifer Lassiter, executive director of the digital dollar project, Yuval rooz, CEO of digital asset, David treat, director of Accenture and co-founder of the digital dollar project, and Jon frost, senior economist of the bank for international settlements. They all agree that swift will continue to exist for five years.

Then a MasterCard spokesman further added, "Miebach is just strengthening the previous statement about Swift - their business continues to develop, and their current form will change in the future. They are adding more functions, not just an information system."