Bank of England to Study Central Bank Digital Currencies

Central Bank of England issued a working paper, which describes three types of possible digital currencies, that can be issued by a central banks
22 May 2018   382

he Bank of England published a working paper that examined various risks to economic stability associated with central bank digital currencies (CBDC). This is reported by Cointelegraph.

The paper examines three CBDC models that differ in coverage, starting with models that only banks and non-bank financial institutions can use, and to those that can be accessed by households and non-financial institutions.

In the first case, financial institutions will be able to interact directly with the central bank to buy and sell CBDC for conditioned securities. It is assumed that financial institutions will not provide access to such currencies to households and companies that are fully funded by the money of central banks.

With the expansion of the CBDC throughout the economy, access to them will be available from both banks and households, as well as from other companies. Thus, CBDC will be able to fulfill the role of money for all participants in the economy. At the same time, only banks and non-bank financial institutions will be able to buy a digital currency from the central bank, and the rest of the economy will be able to access it through specialized exchanges.

In the third option, only banks and non-bank financial institutions gain access to the CBDC, and at least one of them takes on the role of a "narrow bank", issuing an asset fully secured by CBDC and provided to households and other companies, but not involving credit rights.

Crypto Investor to File Lawsuit Against AT&T

Michael Terpin believes that AT&T helped scammers to still his $24M worth crypto
16 August 2018   93

In the Los Angeles District Court, a 69-page lawsuit was filed by BitAngels founder Michael Terpin against the American telecom giant AT&T. Terpin claims that the operator assisted fraudsters in "stealing digital personal data" from the account on his smartphone, which is why he lost $ 24 million in cryptocurrency, according to an official release.

According to Terpin, for seven months, there were two hacks. Initially, an attacker got access to his phone number without providing a password or correct identification data. Later, the phone number was used to steal crypto.

AT&T’s studied indifference to protecting its customers’ privacy and financial assets is a metastasizing cancer, threatening hundreds of millions of unsuspecting AT&T’s customers. Our client had no idea when he initially signed up, nor when later he was promised the highest level of security for his account, that low-level retail employees with access to AT&T records, or people posing as them, can be bribed by criminals to override every system that AT&T advertises as unassailable.
 

Pierce O’Donnell
Lead counsel for Terpin in this complaint

Michael Terpin requires AT & T to pay him $ 224 million - $ 200 million for moral damages and $ 24 million for actual theft.