Consumers to face 20,000 pound limit on digital pound, Bank of England says

Kitco Media
By Reuters
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Updated:
Reuters
LONDON, Feb 7 (Reuters) - British consumers would be limited to holding a maximum of 20,000 pounds ($24,000) each if the Bank of England goes ahead with a digital version of the British currency, BoE Deputy Governor Jon Cunliffe said on Tuesday. Britain's government said on Monday that it and the BoE were pressing on with work on a possible digital pound that was likely to enter circulation in the second half of this decade, though no final decision has been made on whether to go ahead. "We propose a limit of between 10,000 pounds and 20,000 pounds per individual as the appropriate balance between managing risks and supporting wide usability of the digital pound," Cunliffe said in a speech to members of UK Finance, a banking industry body. A limit of 10,000 pounds would mean that three quarters of people could receive their pay in digital pounds as well as holding pre-existing balances in the same account, while a 20,000 pound limit would allow almost everyone to use digital pounds for day-to-day transactions, Cunliffe said. ($1 = 0.8332 pounds) (Reporting by Huw Jones, editing by David Milliken)

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