The development of electronic currency helps the government monitor electronic currency and promptly adjust its monetary policy based on the development of electronic currency research and practice, while ensuring the reliability of the payment system.

Related introduction:

The formulation of electronic currency technical standards and the promotion and application of electronic currency are half-governmental and half-private in most countries. Generally, companies are responsible for setting technical safety standards. The government focuses on promoting applications.

The object of monetary policy adjustment is money supply, that is, the total purchasing power of the whole society, which is specifically expressed in the following forms: cash in circulation and deposits of individuals, enterprises and institutions in banks.

Extended information

The widespread use of electronic money has made the emergence of online banking inevitable. There are two types of online banks: one is an online bank developed entirely dependent on the Internet, and the other is a traditional bank that uses the public Internet to use online banking as an extension of the bank's retail business counter to achieve 24-hour uninterrupted operations. A model that serves the purpose of saving banks' operating costs, and is an online bank in the full sense, that is, the first type of online bank.

Electronic currency is currency issued through electronic networks and can be circulated globally. This breaks the monopoly power of a country’s central bank on currency issuance. Therefore, those in the world with advanced technology and large amounts of capital Institutions and individuals (such as software companies, telecommunications operators, intermediaries, etc.), like commercial banks, regard the issuance and operation of electronic currency as their main business.

Baidu Encyclopedia-Electronic Currency