The 12th annual edition of the conference, organized by the Central Reserve Bank of Peru (BCRP) and the Bretton Woods Reinvention Committee (RBWC), took place on July 24, 2020 developed based on “A New Era of Post-Pandemic Policy Making “ Where, Shenzhen Thousand Cities Strategic Algorithms Cloud Technology (TCSA) has been invited as a consultant for sovereign money technologies. in which the place of the AI in this sector was increased.
The virtual conference was attended by participants from the Central Bank of Russia, Pakistan, Costa Rica and Armenia as well as the Latin American Currency Research Center, the Association of International Finance and the Institute of Economic Research at the University of Pennsylvania.
Marc Uzan, president of the RBWC, stressed the economic impact of the coronavirus pandemic in countries around the world. The central banks in attendance shared their respective fiscal and monetary policy decisions to restore economic health and productivity, maintain financial stability and pave the way for post-pandemic policy making.
TCSA suggested that economies should improve their monetary systems by upgrading sovereign credit currencies to sovereign wealth currencies backed up by extensive data and algorithmic analysis.
The statement also says: “TCSA’s government bond monetary system consists of two package options: electronic payment + artificial intelligence algorithm + political decision command post” or “digital currency + artificial intelligence algorithm + policy decision command post. “
Each system can be built on existing point-of-sale, mobile payment, digital banking or digital currency systems in one to three years, which in practice ensures a powerful and risk-free upgrade of payment systems.
In this order of ideas, it’s important to remember that advances in artificial intelligence (AI) in recent years have opened up a promising panorama for banking companies, with which they can improve internal efficiency, increase productivity, and improve quality of can offer customer service.
The impact of artificial intelligence on banking
In recent years, the use of artificial intelligence tools has grown exponentially in all economic sectors due to the big data volume and the increase in information processing capacity.. The use of these instruments in financial services presupposes the possibility of increasing not only the benefits of the sector but also the global benefits of consumers with better banking services.
Artificial intelligence is nothing more than a set of theories and algorithms that computers can use to perform tasks that usually require human intelligence skills to recognize or interpret them. However, artificial intelligence can go beyond human intelligence and improve skills.
Artificial intelligence could pose new challenges that need to be addressed to take advantage of all these new opportunities. Promoting a broad dialogue on all aspects of artificial intelligence development and its impact remains a key priority for the banking sector.
Finally it was known that In August, TCSA will organize webinars with various central banks to further discuss the implementation of the program “Sovereign Asset Currency System”. Peru is in talks at the highest global level.
Central banks at the top
The use of disruptive technologies by the various central banks in different countries on a global level is a trend that is gaining ground to adapt to the new times that question the increased use of digital or “contactless” payments.
In this context, artificial intelligence and the use of blockchain are undoubtedly the most sought after for so-called sovereign digital currencies. With tested use cases like Japan or China and other less media, but no less important like Ukraine, the technology is undoubtedly here to stay.
Although Latin America has had no appreciable boost in the central bank’s or CBDC’s digital currencies, some countries in the region like Brazil or Argentina have addressed this possibility in the recent past, and the use of AI algorithms is undoubtedly part of the ingredient, which should be used in these cases to optimize processes.
The project recently sponsored by the Peruvian Central Bank is nothing more than an indication of whether the facility wants to arrive in the near future. and apparently they’re laying the groundwork for using this type of institutional-level disruptive technology for digital transformation that the post-Covid 19 era, and especially the trade war era, to be non-traumatic They live between the two major economies of the world.
It seems to be a matter of time before many public and private financial institutions finally start using disruptive technologies indoors. to take the final step towards digitizing their currency cones, which will enable them not only to be at the forefront of the new times, but at the same time with the economic challenges that the post-pandemic times require.
Ultimately, in this new career, only those who are best prepared and least dependent on central authorities who have implemented fiscal policies in the past, who, unlike the new times when more freedom is required, have adopted fiscal policies and movement Inclusion.