Coronavirus: Case for Digital Money?

TL;DR

The paper advocates for government-issued digital currencies and a supranational digital iCurrency, emphasizing health benefits, regulatory policies, and international monetary integration.

Contribution

It proposes policy frameworks for adopting digital currencies, including mobile wallets, regulation, and a new supranational digital currency for global financial connectivity.

Findings

Digital currencies can reduce germ spread by replacing paper money.

Policy recommendations include mobile wallet adoption and regulatory oversight.

A supranational digital iCurrency can facilitate international monetary linkages.

Abstract

We discuss the pros of adopting government-issued digital currencies as well as a supranational digital iCurrency. One such pro is to get rid of paper money (and coinage), a ubiquitous medium for spreading germs, as highlighted by the recent coronavirus outbreak. We set forth three policy recommendations for adapting mobile devices as new digital wallets, regulatory oversight of sovereign digital currencies and user data protection, and a supranational digital iCurrency for facilitating international digital monetary linkages.