CBDC-MXN: Challenges and Perspectives in The Implementation as a Mexican Digital Currency

Authors

DOI:

https://doi.org/10.32870/myn.vi49.7689

Keywords:

Central Bank Digital Currency, Central Banks, Stablecoins, Dynamic SWOT, Blockchain Explorers

Abstract

This research shows a proposal for developing of a Mexican Central Bank Digital Currency by Banco de México. Therefore, a dynamic SWOT matrix is used to present the strengths, weaknesses, opportunities, and threats of the development of the Mexican Central Bank Digital Currency. In addition, an analysis of the stablecoins of the Mexican peso is made to know their landscape and current use, the above making use of Blockchain explorers such as BscScan, Etherscan, Polygonscan, and Tronscan. MMXN, Moneta Digital, is the stablecoin of the Mexican Peso with the most significant number of users and transactions. According to the results obtained, it is shown that the Mexican CBDC is viable, but it must overcome challenges and issues to be implemented and used by the population.

References

Alfonso C, V., Kamin, S., & Zampolli, F. (2022). Central bank digital currencies (CBDCs) in Latin America and the Caribbean (No. 989). Bank for International Settlements.

Allen, F., Gu, X., & Jagtiani, J. (2022). Fintech, cryptocurrencies, and CBDC: Financial structural transformation in China. Journal of International Money and Finance, 124, 102625.

Armelius, H., Guibourg, G., Johansson, S., & Schmalholz, J. (2020). E-krona design models: pros, cons and trade-offs. Sveriges Riksbank Economic Review, 2, 80-96.

Armelius, H., Guibourg, G., Levin, A., & Söderberg, G. (2020). The rationale for issuing e-krona in the digital era. Sveriges Riksbank Economic Review, 2(2020), 6-18.

BBVA Research. (2019). Monedas digitales emitidas por bancos centrales: características, opciones, ventajas y desventajas. BBVA.

Banco de México. (2023). Características del Sistema de Pagos Electrónicos Interbancarios (SPEI®). Mexico: Banxico.

Bank of Jamaica. (2023). Jamaica's Central Bank Digital Currency (CBDC) – JAM-DEX. Jamaica: Bank of Jamaica.

Briola, A., Vidal-Tomás, D., Wang, Y., & Aste, T. (2022). Anatomy of a Stablecoin’s failure: The Terra-Luna case. Finance Research Letters, 103358. https://doi.org/10.1016/j.frl.2022.103358

BscScan. (2023). BNB Smart Chain Explorer. Binance. Link: https://bscscan.com/

CBDC Tracker. (2022, November 27). Today's Central Bank Digital Currencies Status. CBDC Tracker. Link: https://cbdctracker.org/

Carnap, M. (2013). El método FODA DINÁMICO. metaaccionMAGAZINE ESPECIAL, (7), 2-10.

Catalini, C., de Gortari, A., & Shah, N. (2022). Some simple economics of stablecoins. Annual Review of Financial Economics, 14. https://doi.org/10.1146/annurev-financial-111621-101151

Catalini, C., Dai Li, W., de Gortari, A., & Lilley, A. (2021). From Stablecoins to CBDCs: The Public Benefits of a Public-Private Partnership. Available at SSRN. https://dx.doi.org/10.2139/ssrn.3986192

Corder, K. (2014). Central bank autonomy: The federal reserve system in American politics. Routledge

CNBV. (2020, March 11). Política Nacional de Inclusión Financiera, Acciones y Programas. Gobierno de México. México: Comisión Nacional Bancaria y de Valores.

de Azevedo Sousa, J. E., Oliveira, V., Valadares, J., Dias Goncalves, G., Moraes Villela, S., Soares Bernardino, H., & Borges Vieira, A. (2021). An analysis of the fees and pending time correlation in Ethereum. International Journal of Network Management, 31(3), e2113. https://doi.org/10.1002/nem.2113

eNaira. (2023). About. Bank of Jamaica. Link: https://enaira.gov.ng/

Ensástigue, M. A. (2023, January 2). Moneda digital de Banxico se encuentra en fase inicial. El sol de México. Link: https://www.elsoldemexico.com.mx/finanzas/moneda-digital-de-banxico-se-encuentra-en-fase-inicial-9408699.html

Etherscan. (2023). The Ethereum Blockchain Explorer. Ethereum. Link: https://etherscan.io/

Gemini. (2022). What Does Permissionless Mean? Gemini. Link: https://www.gemini.com/cryptopedia/what-is-permissionless-crypto-permissionlessness-blockchain

Gobierno de México. (1993). Ley del Banco de México. México: Gobierno de México. Link: https://www.diputados.gob.mx/LeyesBiblio/pdf/74.pdf

Gobierno de México (2018). Ley para regular las instituciones de tecnología financiera. (2018, March 9). México: Gobierno de México Link: https://www.diputados.gob.mx/LeyesBiblio/pdf/LRITF_200521.pdf

Hernández, J. M. M. (2022). Panorama de inclusión financiera y del uso de criptomonedas en México. Interconectando Saberes, (13), 37-45. https://doi.org/10.25009/is.v0i13.2711

Hernández, J. M. M., & Cruz, S. A. (2022). Blockchain en la educación: su uso en credenciales académicas. Revista Digital Universitaria, 23(1). http://doi.org/10.22201/cuaieed.16076079e.2022.23.1.1

Humphrey, A. (2005). SWOT analysis for management consulting. SRI alumni Newsletter, 1, 7-8.

Jarvis Network. (2023) About. Jarvis Network. Link: https://jarvis.network/

López, N. Á. T., Rivera, L. M. M., De Casas, W. G. M., Acosta, S. O. A., & Hernández, J. M. M. (2022). Criptomonedas: Una Revisión de su Panorama y de los Riesgos Actuales en México. Hitos de Ciencias Económico Administrativas, 28(81), 202-220.

Moneta Digital. (2023). MMXN. Moneda digital. Link: https://monetadigital.com/

PolygonScan. (2023). Polygon PoS Chain Explorer. Polygon. Link: https://polygonscan.com/

PXO Token. (2023). Whitepaper. PXO Token. Link: https://pxotoken.com/es/whitepaper/

Reserve Bank of India. (2022, October 7). Concept Note on Central Bank Digital Currency. India: Bank of India. Link: https://rbi.org.in/Scripts/PublicationReportDetails.aspx?UrlPage=&ID=1218

Rodríguez, J.M. (2022). La implementación de las Monedas Digitales del Banco Central (CBDC) y su impacto en el sistema financiero europeo. [Trabajo de fin de grado, Facultad de Ciencias Humanas y Sociales, Universidad Pontificia Comillas]. Repositorio Comillas.

Sánchez, S. G. O., Franco, C. A. G., & Flores, A. J. E. (2021). Panorama económico para el desarrollo del peso digital emitido por el Banco de México. VinculaTégica, 7(2), 642-653. https://doi.org/10.29105/vtga7.1-130

Sand Dollar. (2023). Digital Bahamian Dollar. Central Bank of Bahamas. Link: https://www.sanddollar.bs/

Senado de la República. (2022, April 21). Comparecencia ante el Senado de la República, Licenciada Victoria Rodríguez Ceja, Gobernadora del Banco de México. Banco de México. Link; https://www.banxico.org.mx/publications-and-press/speeches/%7BD7EB1919-DE55-95ED-B0F7-0887AE4C6843%7D.pdf

Tether. (2023). Supported protocols. Tether. Link: https://tether.to/es/supported-protocols/

Tronscan. (2023). Tron Blockchain Explorer. Tron. Link: https://tronscan.org/#/

Xu, J., & Prud'homme, D. (2020). China’s digital currency revolution and implications for international business strategy. London School of Economics Business Review, Forthcoming. https://dx.doi.org/10.2139/ssrn.3672240

Published

2023-05-01

How to Cite

Flores Gálvez , J. N. ., & Mata Hernández, J. M. (2023). CBDC-MXN: Challenges and Perspectives in The Implementation as a Mexican Digital Currency. Mercados Y Negocios, (49), 3–20. https://doi.org/10.32870/myn.vi49.7689