#8: Aligning Technology with Policy: The Oliver Wyman Forum and Amazon Web Services (AWS) Report

CBDC Broadcast

20 Jul

10th August 2022

With:

| Larissa de Lima (Oliver Wyman Forum)

| Erica Salinas (Amazon Web Services)

In Session #8, Larissa De Lima (Oliver Wyman Forum) and Erica Salinas (Amazon Web Services) join FNA to discuss their landmark joint report, "Retail Central Bank Digital Currency: From Vision to Design." The discussion focuses on a critical, often-overlooked reality: a CBDC is not a "one-size-fits-all" product. Its technical architecture must be a direct reflection of a nation's specific policy goals—whether that is financial inclusion, payment efficiency, or monetary sovereignty.

Our guests introduce a decision-making framework to help policymakers navigate the complex interdependencies between technology and policy. We explore the high-stakes trade-offs of identity-based services versus anonymity, the role of the private sector as the primary "distributor" of digital value, and how to choose the right ledger technology to ensure the system remains resilient, scalable, and secure.

Key Discussion Points:

The "Working Backwards" Approach: Why central banks must define their vision before choosing between DLT or centralized databases.
The Identity Dilemma: Exploring the services and risks associated with identity-linked CBDCs versus token-based anonymity.
Public-Private Synergy: Defining the "Two-Tier" model where the central bank manages the core while the private sector drives innovation and user experience.
Avoiding Disintermediation: Design choices—such as holding limits and tiered interest rates—to protect the commercial banking sector.
Technical Resilience: Evaluating ledger options and cloud infrastructure to mitigate cyber risks and ensure 24/7 uptime.
G7 Timeline: A realistic look at the likelihood of a major G7 economy launching a retail CBDC within the next five years.

Watch on Demand:

Listen on: Spotify | Apple Podcasts | Amazon Music

Resources & Links:

Retail Central Bank Digital Currency: From Vision to Design – A Framework to align policy objectives and technology design choices Read More >
Central Bank Digital Currencies: Two-Part series on how to leverage this technology to achieve your mission Read More >