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--- cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start [2022/05/07 15:29]
nick [Discussion of Examples]
+++ cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start [2022/06/17 18:37] (current)
terrance
@@ Line 1: / Line 1: @@
 ====== Question: 03. Could a CBDC affect financial inclusion? Would the net effect be positive or negative for inclusion? ======
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:start| Return to CBDC Benefits, Risks, and Policy Considerations ]]
+|< 100% >|
+| [[cbdc:public:cbdc_omg:04_doc:20_comments:brp:start| Return to CBDC Benefits, Risks, and Policy Considerations ]]  |  <WRAP>
+<html><b>
+<a href="mailto:[email protected]?Subject=OMG's CBDC WG Response:
+Question: 03. Could a CBDC affect financial inclusion? Would the net effect be positive or negative for inclusion?
+">Provide Feedback</a></b>
+</html>
+</WRAP>  |
 This is a compound question, but the second part of the question relies on the first.
 ===== Question =====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
   - **Could a CBDC affect financial inclusion?**
@@ Line 11: / Line 20: @@
 ===== Answer =====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
 ==== Could a CBDC affect financial inclusion? ====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
-The answer to these questions depends on the [[cbdc:private:cbdc_omg:04_doc:15_common:start| Currency Model]] underlying the CBDC. Based on the content of the White Paper, it appears as if the concept of "inclusion" means the participation of those who rely on [[cbdc:private:cbdc_omg:8_append:20_glossary:nonbank_money]].
+The answer to these questions depends on the [[cbdc:public:cbdc_omg:04_doc:15_common:start| Currency Model]] underlying the CBDC. Based on the content of the White Paper, it appears as if the concept of "inclusion" means the participation of those who rely on [[cbdc:public:cbdc_omg:8_append:20_glossary:nonbank_money]].
 The World Bank defines Financial as:
@@ Line 33: / Line 42: @@
 Accessed: 14 April 2022
 [[https://www.semanticscholar.org/paper/FINANCIAL-INCLUSION%3A-CONCEPTS-AND-OVERVIEW-IN-Tp/75a4f173e50c7d073890182fd80521e5bea45637]]
-)). A person does not have to have all six services or capabilities in order to have Financial Inclusion but, as a general rule, more is better. For example, in the U.S., having a Bank Account probably will also provide access to the other five services and capabilities. However, in some countries, having a Bank Account might support the Transfer of Funds, and depending on where the Bank Account is, it may or may not be insured. A Bank Account may or may not support savings and the paying of interest and may or may not include financial advice or ensure that the advice provided is fair and equitable to the saver. Within the U.S. the big hurtle is to get people into the system starting with a Bank Account.
+)). A person does not have to have all six services or capabilities in order to have Financial Inclusion but, as a general rule, more is better. For example, in the U.S., having a Bank Account probably will also provide access to the other five services and capabilities. However, in some countries, having a Bank Account might support the Transfer of Funds, and depending on where the Bank Account is, it may or may not be insured. A Bank Account may or may not support savings and the paying of interest and may or may not include financial advice or ensure that the advice provided is fair and equitable to the saver. Within the U.S. the big hurdle is to get people into the system starting with a Bank Account.
 <figure financeInclServ>
-{{  :cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:screen_shot_2022-04-14_at_12.21.57_pm.png?400  |}}
+{{  cbdc:04_doc:20_comments:brp:q03:screen_shot_2022-04-14_at_12.21.57_pm.png?375  |}}
 <caption>An Overview of Financial Inclusion Services((
 Tp, Shabna Mol.,
@@ Line 50: / Line 59: @@
 <figure financeExclServ>
-{{  :cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:screen_shot_2022-04-14_at_12.34.27_pm.png?375 |}}
+{{  cbdc:04_doc:20_comments:brp:q03:screen_shot_2022-04-14_at_12.34.27_pm.png?375 |}}
 <caption>An Overview of Financial Exclusion((
 Tp, Shabna Mol.,
@@ Line 63: / Line 72: @@
 The financial industry has determined that getting the non-banked or the under-banked population included in the financial system is a potential growth market for their services. Some of the financial industry have developed new methods and strategies to provide their products and services to the under-served population and can actually add to their own revenue streams.
-The financial industry is making this possible through the use of low cost [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:f:fintech | Financial Technology (Fintech) ]] solutions rather than trying to extend the traditional financial products and services to the financially underserved. For example, the financial industry is now using FinTech to offer cashless [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:d:digital_transaction | Digital Transactions]], the advent of low-fee [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:r:robo-advisor | Robo-Advisors]], and the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:c:crowd_funding | Crowdfunding]] and [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:p:p2p_lending | Peer-to-Peer Lending (P2P Lending) ]].
+The financial industry is making this possible through the use of low-cost [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:f:fintech | Financial Technology (Fintech) ]] solutions rather than trying to extend the traditional financial products and services to the financially underserved. For example, the financial industry is now using FinTech to offer cashless [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:d:digital_transaction | Digital Transactions]], the advent of low-fee [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:r:robo-advisor | Robo-Advisors]], and the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:c:crowd_funding | Crowdfunding]] and [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:p:p2p_lending | Peer-to-Peer Lending (P2P Lending) ]].
 According to Investopedia, [[https://www.investopedia.com/terms/p/peer-to-peer-lending.asp | Peer-to-Peer (P2P) Lending]]:ccc
@@ Line 76: / Line 85: @@
 ==== Would the net effect be positive or negative for inclusion? ====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
-This would require more study; however, the Savanta: ComRes & the Financial Conduct Authority did a study which is a great first step in understanding the barriers to adoption of Digital Currency and/or Digital Accounts.
+This would require more study; however, the Savanta: ComRes & the Financial Conduct Authority did a study which is a great first step in understanding the barriers to adoption of Digital Currency and/or Digital Accounts. ((
-((
 Savanta: ComRes & the Financial Conduct Authority,
 __Understanding cash reliance – qualitative research__,
@@ Line 90: / Line 98: @@
     //There is a spectrum of self-reported reliance on cash – some consumers are more dependent, and some are closer to preference. This research found that whilst some had a reliance on cash, for others – particularly those with low financial resilience – the need to avoid overspending was such that they depended on cash. This is because, for these individuals, small budgetary errors could lead to harm such as unmanageable debt and difficulty affording essential goods.//
   - //**The key demographic factors driving dependence on cash are having a very low income and displaying characteristics of vulnerability**//
-    //Some examples that drive dependence on cash are ill-health, life events, low financial resilience, and lower financial or digital capability. These characteristics of vulnerability are present across most groups of respondents, in some more so than in others. Many of the individuals with a dependence on cash – though not all – are aged under 50.//
+    //Some examples that drive dependence on cash are ill health, life events, low financial resilience, and lower financial or digital capability. These characteristics of vulnerability are present across most groups of respondents, in some more so than in others. Many of the individuals with a dependence on cash – though not all – are aged under 50.//
   - //**The more dependent/vulnerable could be at greater risk of harm:**//
     //If cash infrastructure declines, those with a reliance on cash may find accessing cash to be an increasing challenge. Some of those with a reliance on cash will already walk long distances and wait for extended periods of time to access cash if they do not have access to local, convenient cash infrastructure. This is harmful to those with long-term health conditions that limit mobility or their ability to spend extended periods of time in queues or outdoors. Whilst many have an aversion to pay-to-use ATM machines, some will resort to these in cases of emergency, spending money they may struggle to afford in order to access cash.//
@@ Line 97: / Line 105: @@
 ===== Examples =====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
-The following "desirements" are from the [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:15_summary:start&do=edit | White Paper]] as identified by the [[https://www.omg.org/ | Object Management Group's ]] report called [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:15_summary:start | White Paper Analysis]]:
+The following "desirements" are from the [[https://www.federalreserve.gov/publications/files/money-and-payments-20220120.pdf | White Paper]] as identified by the [[https://www.omg.org/ | Object Management Group's ]] CBDC WG report called [[cbdc:public:cbdc_omg:04_doc:12_summary:start | White Paper Analysis]]:
 <table>
-<caption>Example of mapping Financial Inclusion requirements identified during the White Paper Analysis conducted by OMG.</caption>
+<caption>Example of mapping Financial Inclusion requirements identified during the White Paper Analysis conducted by OMG's CBDC WG.</caption>
 ^ Requirements | <WRAP>
-  * B0007, B0008, B0009, B0010, B0011, B0012, B0013, B0014, B0015, B0018, B0019, B0028, B0029, B0030, B0031, B0033, B0034, B0035, B0038, B0041, B0043, B0045, B0046, B0047, B0048, B0049, B0054
+  : B: B0007, B0008, B0009, B0010, B0011, B0012, B0013, B0014, B0015, B0018, B0019, B0028, B0029, B0030, B0031, B0033, B0034, B0035, B0038, B0041, B0043, B0045, B0046, B0047, B0048, B0049, B0054
-  * P0003, P0023, P0025, P0026, P0027
+  : P: P0003, P0023, P0025, P0026, P0027
-  * R0011
+  : R: R0011
-  * D0012, D0012, D0015, D0016, D0017
+  : D: D0012, D0012, D0015, D0016, D0017
 </WRAP> |
 </table>
 ==== Discussion of Examples ====
-[[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
+[[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q03:start| Return to Top]]
-The following discussion covers both of the [[cbdc:private:cbdc_omg:04_doc:15_common:start| Currency Models]]:
+The following discussion covers both of the [[cbdc:public:cbdc_omg:04_doc:15_common:start| Currency Models]]:
-  * [[cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start| Digital Cash Model ]]
+  * [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start     | Digital Cash Model ]]
-  * [[cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:15_accounts:start| Digital Account Model ]]
+  * [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:15_accounts:start | Digital Account Model ]]
 <table>
@@ Line 123: / Line 131: @@
 ^ Statement No.  ^ Statement  ^ Comment  |
 ^ B0007 ^ Provide households and businesses a: <WRAP>
-  - convenient
+  : 1. convenient
-  - an electronic form of central bank money with
+  : 2. an electronic form of central bank money with
-    - safety
+   : a. safety
-    - liquidity
+   : b. liquidity
 </WRAP>| <WRAP>
-  * **Digital Cash**:
+  : 1. **Digital Cash**:
-    * By definition offer, be liquid
+   : a. By definition offer, be liquid
-    * Depending on the implementation, be more convenient than physical cash
+   : b. Depending on the implementation, be more convenient than physical cash
-    * Offer more safety than physical cash
+   : c. Offer more safety than physical cash
-  * **Digital Accounts**:
+  : 2. **Digital Accounts**:
-    * Depending on the implementation, be more convenient than physical cash
+   : a. Depending on the implementation, be more convenient than physical cash
-    * Offer more safety than physical cash
+   : b. Offer more safety than physical cash
-    * Be less liquid than physical cash
+   : c. Be less liquid than physical cash
 </WRAP>|
 ^ B0008 ^ Provide entrepreneurs a platform on which to create new financial products and services |<WRAP>
-  * **Digital Cash**: Since Digital Cash is new, there would be a need for more platforms that can handle Digital Cash. These platforms could be created by existing intermediaries or from new startups
+  : 1. **Digital Cash**: Since Digital Cash is new, there would be a need for more platforms that can handle Digital Cash. These platforms could be created by existing intermediaries or from new startups
-  * **Digital Accounts**: Since Digital Accounts are similar to existing intermediary accounts, the ability of entrepreneurs to create new financial products is limited.
+  : 2. **Digital Accounts**: Since Digital Accounts are similar to existing intermediary accounts, the ability of entrepreneurs to create new financial products is limited.
 </WRAP>|
 ^ B0009 ^ Provide faster and cheaper payments (including cross-border payments) |<WRAP>
-  * **Digital Cash**: would be more efficient and safer than using Physical Cash when sending more cross-border
+  : 1. **Digital Cash**: would be more efficient and safer than using Physical Cash when sending more cross-border
-  * **Digital Accounts**: would be more efficient and safer than using Physical Cash, BUT would require the receiver of the CBDC to have an account to receive the money. In essence, this means the people, not resident in the US and perhaps not US citizens have access to US accounts.
+  : 2. **Digital Accounts**: would be more efficient and safer than using Physical Cash, BUT would require the receiver of the CBDC to have an account to receive the money. In essence, this means the people, not residents in the US and perhaps not US citizens have access to US accounts.
 </WRAP>|
 ^ B0010 ^ Expand consumer access to the financial system |<WRAP>
@@ Line 150: / Line 158: @@
 <figure availability>
 <caption>Network Availability in the US</caption>
-{{  :cbdc:private:cbdc_omg:04_doc:20_comments:brp:screen_shot_2022-03-23_at_3.17.56_pm.png?400  |}}
+{{  cbdc:04_doc:20_comments:brp:screen_shot_2022-03-23_at_3.17.56_pm.png?700  |}}
 </figure>
-  * **Digital Cash**: would have all the same limitations as physical money as far as providing access to the financial system, however, the financial systems could provide gateways to-and-from a Digital Cash system allowing financial services to the underserved without having a physical presence.
+  : 1. **Digital Cash**: would have all the same limitations as physical money as far as providing access to the financial system, however, the financial systems could provide gateways to-and-from a Digital Cash system allowing financial services to the underserved without having a physical presence.
-  * **Digital Accounts**: if people do not currently have access to existing intermediaries, the CBDC accounts would probably not improve that situation. For example, [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:k:kyc | Know Your Customer]].
+  : 2. **Digital Accounts**: if people do not currently have access to existing intermediaries, the CBDC accounts would probably not improve that situation. For example, [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:k:kyc | Know Your Customer]].
 </WRAP>|
 ^ B0011 ^ Make payments: <WRAP>
-   - faster
+   : 1. faster
-   - cheaper
+   : 2. cheaper
-   - more convenient
+   : 3. more convenient
-   - more accessible
+   : 4. more accessible
 </WRAP>|<WRAP>
-  * **Digital Cash**:
+  : 1. **Digital Cash**:
-    * Faster - Physical Cash is immediate
+   : a. Faster - Physical Cash is immediate
-    * Cheaper - Physical Cash costs nothing to use
+   : b. Cheaper - Physical Cash costs nothing to use
-    * More Convenient - The use of cash is very convenient during a transaction and when the amount of cash is small. However, it is often inconvenient to obtain physical cash or to dispose of physical cash.
+   : c. More Convenient - The use of cash is very convenient during a transaction and when the amount of cash is small. However, it is often inconvenient to obtain physical cash or to dispose of physical cash.
-    * More Accessible - Physical Cash is generally easy within the US to obtain within the US. However, see the Figure {{ref>availability}}.
+   : d. More Accessible - Physical Cash is generally easy within the US to obtain within the US. However, see the Figure {{ref>availability}}.
-  * **Digital Accounts**:
+  : 2. **Digital Accounts**:
-    * Faster - Digital Cash will have delays that need to be as fast as current account-based systems such as savings, checking, investment, direct pay, credit, debit cards, etc., and is dependent on electricity and network connectivity, see Figure {{ref>availability}}.
+   : a. Faster - Digital Cash will have delays that need to be as fast as current account-based systems such as savings, checking, investment, direct pay, credit, debit cards, etc., and is dependent on electricity and network connectivity, see Figure {{ref>availability}}.
-    * Cheaper - The main cost in Digital Accounts is most likely the cost of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.k_consensus:start | achieving consensus]].
+   : b. Cheaper - The main cost in Digital Accounts is most likely the cost of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.k_consensus:start | achieving consensus]].
-    * More Convenient - Digital Accounts must be as convenient to use as current account-based systems such as savings, checking, investment, direct pay, credit, debit cards, etc. Digital Accounts would be more convenient for large physical cash transactions. Depending on the implementation of the CBDC, the Digital Cash and Digital Accounts may offer the same convenience.
+   : c. More Convenient - Digital Accounts must be as convenient to use as current account-based systems such as savings, checking, investment, direct pay, credit, debit cards, etc. Digital Accounts would be more convenient for large physical cash transactions. Depending on the implementation of the CBDC, Digital Cash and Digital Accounts may offer the same convenience.
-    * More Accessible - Unless more "financial infrastructure" is developed beyond the existing intermediary financial structures.
+   : d. More Accessible - Unless more "financial infrastructure" is developed beyond the existing intermediary financial structures.
 </WRAP>|
 ^ B0012 ^ Provide payment services to households and businesses around the clock, every day of the year|<WRAP>
@@ Line 177: / Line 185: @@
 However, if people are currently excluded from the Financial System, they must rely on physical cash or digital cash to pay bills. Often, in some areas within the U.S., there are no financial services nearby to make physical cash payments let alone 24-7-365! Although the private sector FinTech solutions are available when people have access to:
-  - Financial accounts
+  : 1. Financial accounts
-  - Smart Phones
+  : 2. Smart Phones
-  - Networks
+  : 3. Networks
 </WRAP>|
 ^ B0013 ^ Provide immediate access to transferred funds|<WRAP>
-  * **Digital Cash**: There are no problems with gaining access to transferred funds since they operate very similarly to the current Physical Cash system.
+  : 1. **Digital Cash**: There are no problems with gaining access to transferred funds since they operate very similarly to the current Physical Cash system.
-  * **Digital Accounts**: As with most financial transactions, there is usually a need for a "settlement period". Granted in the "blockchain" environments, these "settlement times" have been reduced from days to minutes. However, the same can be said with most FinTech solutions as well as [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] such as Apple Pay or Google Pay.
+  : 2. **Digital Accounts**: As with most financial transactions, there is usually a need for a "settlement period". Granted in the "blockchain" environments, these "settlement times" have been reduced from days to minutes. However, the same can be said with most FinTech solutions as well as [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] such as Apple Pay or Google Pay.
 </WRAP>|
 ^ B0014 ^ Reduce costs and fees associated with certain types of payments|<WRAP>
@@ Line 189: / Line 197: @@
 </WRAP>|
 ^ B0015 ^ Reduce cross-border costs to benefit: <WRAP>
-  - economic growth
+  : 1. economic growth
-  - enhance global commerce
+  : 2. enhance global commerce
-  - improve international remittances
+  : 3. improve international remittances
-  - reduce inequality
+  : 4. reduce inequality
 </WRAP>|<WRAP>
 See **''B0014''**.
@@ Line 200: / Line 208: @@
 </WRAP>|
 ^ B0019 ^ Provide the safest digital asset available to the general public, with no: <WRAP>
-  - associated credit
+  : 1. associated credit
-  - liquidity risk
+  : 2. liquidity risk
 </WRAP>|<WRAP>
-The only way to offer the **safest digital asset** is to develop [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
+The only way to offer the **safest digital asset** is to develop [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
 </WRAP>|
 ^ B0028 ^ Offer the general public broad access to digital money: <WRAP>
-  - free from credit risk
+  : 1. free from credit risk
-  - liquidity risk
+  : 2. liquidity risk
 </WRAP>|<WRAP>
-The only way to offer the **safest digital asset** is to develop [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
+The only way to offer the **safest digital asset** is to develop [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
 </WRAP>|
 ^ B0029 ^ Support basic purchases of: <WRAP>
-  - goods
+  : 1. goods
-  - services
+  : 2. services
-  - pay bills
+  : 3. pay bills
-  - pay taxes
+  : 4. pay taxes
 </WRAP>|<WRAP>
 The FinTech industry would say that this already exists, especially with the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] such as Apple Pay or Google Pay.
 </WRAP>|
 ^ B0030 ^ Support benefit payments directly to citizens | <WRAP>
-U.S. States like [[https://www.cdss.ca.gov/ebt-card | California]] would claim that this already exists with [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:e:ebt | Electronic Benefits Transfer (EBT)]].
+The U.S. States like [[https://www.cdss.ca.gov/ebt-card | California]] would claim that this already exists with [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:e:ebt | Electronic Benefits Transfer (EBT)]].
 The FinTech industry would say that this is already possible, especially with the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] such as Apple Pay or Google Pay.
 </WRAP>|
 ^ B0031 ^ <WRAP>Provide the general public broad access to digital money that is free from:
-  - credit risk
+  : 1. credit risk
-  - liquidity risk
+  : 2. liquidity risk
 </WRAP>|<WRAP>
-The only way to offer the **safest digital asset** is to develop [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
+The only way to offer the **safest digital asset** is to develop [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
 </WRAP>|
 ^ B0033 ^ Support a level playing field in payment innovation for private-sector firms of all sizes | <WRAP>
@@ Line 242: / Line 250: @@
 ))
-  * Stimulate technological innovation
+  : 1. Stimulate technological innovation
-  * Use small businesses to meet Federal R/R&D needs
+  : 2. Use small businesses to meet Federal R/R&D needs
-  * Foster and encourage participation by the socially and economically disadvantaged small businesses and those that are 51 percent owned and controlled by women, in technological innovation
+  : 3. Foster and encourage participation by the socially and economically disadvantaged small businesses and those that are 51 percent owned and controlled by women, in technological innovation
-  * Increase private-sector commercialization of innovations derived from Federal R/R&D, thereby increasing competition, productivity, and economic growth
+  : 4. Increase private-sector commercialization of innovations derived from Federal R/R&D, thereby increasing competition, productivity, and economic growth
 ** Small Business Technology Transfer (STTR): **The Small Business Technology Transfer program, or STTR, came later and was modeled after the SBIR program. Its goal, however, is to facilitate the transfer of technology developed by a research institution through the entrepreneurship of a small business concern (SBC). Research institutions include universities and Federally Funded Research and Development Centers, also referred to as FFRDCs. It is important to keep in mind that the applicant for an STTR award is always a small business.((
@@ Line 264: / Line 272: @@
 </WRAP>
-Also see: [[cbdc:private:cbdc_omg:8_append:50_other:start]]
+Also see: [[cbdc:public:cbdc_omg:8_append:50_other:start]]
 </WRAP>|
@@ Line 271: / Line 279: @@
 </WRAP>|
 ^ B0035 ^ Streamline cross-border payments by using: <WRAP>
-  - new technologies
+  : 1. new technologies
-  - introducing simplified distribution channels
+  : 2. introducing simplified distribution channels
-  - creating additional opportunities for cross-jurisdictional collaboration and interoperability
+  : 3. creating additional opportunities for cross-jurisdictional collaboration and interoperability
 </WRAP>|<WRAP>
 See: **''B0033''** above.
 </WRAP>|
 ^ B0038 ^ Allow private-sector innovators to focus on: <WRAP>
-  - new access services
+  : 1. new access services
-  - distribution methods
+  : 2. distribution methods
-  - related service offerings
+  : 3. related service offerings
 </WRAP>|<WRAP>
 See: **''B0033''** above.
 </WRAP>|
 ^ B0041 ^ Support streamlining cross-border payments  | <WRAP>
-[[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] already in many countries around the world. The barrier does not seem to the technology or the desire on the part of the FinTech industry but Geopolitical.
+[[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:m:mobile_payment | Mobile Payment Systems]] already in many countries around the world. The barrier does not seem to the technology or the desire on the part of the FinTech industry but the Geopolitical.
 Apple Pay participating banks in Africa, Europe, and the Middle East. Apple Pay works with many of the major credit and debit cards from the top banks. Just add your supported cards and continue to get all the rewards, benefits, and security of your cards.[[https://support.apple.com/en-us/HT206637]]
@@ Line 292: / Line 300: @@
 </WRAP>|
 ^ B0043 ^ Promoting financial inclusion—particularly for economically vulnerable households and communities | <WRAP>
-The financial industry this is already happening through the use of low cost [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:f:fintech | Financial Technology (Fintech) ]] solutions rather than trying to extend the traditional financial products and services to the financially under-served. For example, the financial industry is now using FinTech to offer cashless [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:d:digital_transaction | Digital Transactions]], the advent of low-fee [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:r:robo-advisor | Robo-Advisors]], and the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:c:crowd_funding | Crowdfunding]] and [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:p:p2p_lending | Peer-to-Peer Lending (P2P Lending) ]].
+The financial industry is already happening through the use of low-cost [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:f:fintech | Financial Technology (Fintech) ]] solutions rather than trying to extend the traditional financial products and services to the financially under-served. For example, the financial industry is now using FinTech to offer cashless [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:d:digital_transaction | Digital Transactions]], the advent of low-fee [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:r:robo-advisor | Robo-Advisors]], and the rise of [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:c:crowd_funding | Crowdfunding]] and [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:p:p2p_lending | Peer-to-Peer Lending (P2P Lending) ]].
 </WRAP>|
 ^ B0045 ^ Enable rapid and cost-effective payment of taxes | <WRAP>
 Sales taxes are already collected by the merchant at the point of sale.
-The Internal Revenue Service (IRS) uses third-party payment processors for payments by debit and credit card. It's safe and secure; your information is used solely to process your payment.((
+The Internal Revenue Service (IRS) uses third-party payment processors for payments by debit and credit card. It's safe and secure; your information is used solely to process your payment. ((
 Internal Revenue Service (IRS),
 __Pay Your Taxes by Debit or Credit Card or Digital Wallet__,
@@ Line 303: / Line 311: @@
 [[https://www.irs.gov/payments/pay-your-taxes-by-debit-or-credit-card]]
 ))
-  * You can pay online or over the phone (see Payment Processor Contact Information below for phone payments)
+  : 1. You can pay online or over the phone (see Payment Processor Contact Information below for phone payments)
-  * You can pay using digital wallets such as PayPal and Click to Pay
+  : 2. You can pay using digital wallets such as PayPal and Click to Pay
-  * There’s a maximum number of card payments allowed based on your tax type and payment type
+  : 3. There’s a maximum number of card payments allowed based on your tax type and payment type
-  * Employers’ federal tax deposits cannot be paid by card; see how to pay employment taxes
+  : 4. Employers’ federal tax deposits cannot be paid by card; see how to pay employment taxes
-  * For card payments of $100,000 or more special requirements may apply
+  : 5. For card payments of $100,000 or more special requirements may apply
 Each state and local jurisdiction has different rules.
@@ Line 313: / Line 321: @@
 </WRAP>|
 ^ B0046 ^ Enable rapid and cost-effective delivery of:<WRAP>
-  - wages,
+  : 1. wages,
-  - tax refunds
+  : 2. tax refunds
-  - other federal payments
+  : 3. other federal payments
 </WRAP>| <WRAP>
-U.S. States like [[https://www.cdss.ca.gov/ebt-card | California]] would claim that this already exists with [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:e:ebt | Electronic Benefits Transfer (EBT)]]. This could be expanded to a national level, but would require Laws and Regulations to change.
+The U.S. States like [[https://www.cdss.ca.gov/ebt-card | California]] would claim that this already exists with [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:e:ebt | Electronic Benefits Transfer (EBT)]]. This could be expanded to a national level but would require Laws and Regulations to change.
 According to the IRS((
@@ Line 326: / Line 334: @@
 )):
-  : //The best and fastest way to get your tax refund is to have it electronically deposited for free into your financial account. The IRS program is called direct deposit. You can use it to deposit your refund into one, two or even three accounts.//
+  : //The best and fastest way to get your tax refund is to have it electronically deposited for free into your financial account. The IRS program is called direct deposit. You can use it to deposit your refund into one, two, or even three accounts.//
   : //Eight out of 10 taxpayers get their refunds by using Direct Deposit. It is simple, safe, and secure. This is the same electronic transfer system used to deposit nearly 98 percent of all Social Security and Veterans Affairs benefits into millions of accounts.//
@@ Line 344: / Line 352: @@
 </WRAP>|
 ^ B0054 ^ Attract risk-averse users to CBDC |<WRAP>
-The only way to offer the **safest digital asset** is to develop [[https://www.omgwiki.org/CBDC/doku.php?id=cbdc:private:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
+The only way to offer the **safest digital asset** is to develop [[cbdc:public:cbdc_omg:04_doc:15_common:08_currency_models:10_cash:start | Digital Cash]].
-See section answer for [[cbdc:private:cbdc_omg:04_doc:20_comments:brp:q13:start]]
+See section answer for [[cbdc:public:cbdc_omg:04_doc:20_comments:brp:q13:start]]
 </WRAP>|
 ^ P0003 ^ Complement current forms of money and methods for providing financial services |<WRAP>
@@ Line 355: / Line 363: @@
 There are lots of "common standards" that can apply to Blockchains. See within each of these sections for a list of applicable standards:
-  * [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.b_stds:tech | DIDO RA - Technical Standard Bodies ]]
+  : 1. [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.b_stds:tech | DIDO RA - Technical Standard Bodies ]]
-  * [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.b_stds:defact | DIDO RA - de facto Standards Bodies]]
+  : 2. [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.b_stds:defact | DIDO RA - de facto Standards Bodies]]
 Unfortunately, within the //"blockchain"// world, there is confusion about what constitutes a standard. Often, if something is Open Source, it is considered a standard. However, often these projects lack the rigor needed to be considered a //"standard"//. Also, see the discussion in the DIDO RA on [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.b_stds:defact:todo:start | Talk Openly Develop Openly (TODO)]] and look at the DIDO RA definition of a  [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:s:sdo | Standards Developing Organization (SDO)]].
@@ Line 362: / Line 370: @@
 </WRAP>|
 ^ P0025 ^ CBDC intermediary would need to verify the identity of a person accessing CBDC |<WRAP>
-Many systems are now using [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:t:2fa | Two-Factor Authentication (2FA) ]] requiring [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:b:biometrics |Biometrics ]] (i.e., facial recognition, fingerprints, etc) or [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:o:otp | One-Time PIN (OTP)]]. These 2FA methods generally require the user to be physically present to successfully login or to have access to a mobile device like a phone or tablet.
+Many systems are now using [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:t:2fa | Two-Factor Authentication (2FA) ]] requiring [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:b:biometrics |Biometrics ]] (i.e., facial recognition, fingerprints, etc) or [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:xapend:xapend.a_glossary:o:otp | One-Time PIN (OTP)]]. These 2FA methods generally require the user to be physically present to successfully log in or to have access to a mobile device like a phone or tablet.
 Also see [[https://www.omgwiki.org/dido/doku.php?id=dido:public:ra:1.4_req:2_nonfunc:25_security:authenticity | OMG DIDO-RA section on  Authenticity]].
 </WRAP>|
 ^ P0026 ^ CBDC transactions would need to be final and completed in real-time |<WRAP>
-CBDC Transactions need to compete with the current Currency Model used by the financially excluded, which is primarily cash partly because it is "real-time". You see something, you want to buy it, you have the cash, you complete the transaction then and there.
+CBDC Transactions need to compete with the current Currency Model used by the financially excluded, which is primarily cash partly because it is "real-time". You see something, you want to buy it, you have the cash, and you complete the transaction then and there.
 </WRAP>|
 ^ P0027 ^ CBDC a risk-free asset |<WRAP>
@@ Line 373: / Line 381: @@
 This research identifies three key factors that drive cash reliance in general. In factors in order of
-the importance are((
+the importance is ((
 Savanta: ComRes & the Financial Conduct Authority,
 __Understanding cash reliance – qualitative research__,
@@ Line 381: / Line 389: @@
 )):
-  - //Avoiding overspending: For most people with a reliance on cash, avoiding overspending and living within their means was the main reason for relying on cash. Respondents felt that using cash stops them from spending more than they have, helps them to keep track of spending, and puts enough friction into the payments process to allow them to evaluate whether they want to go through with the purchase. The physical nature of cash was also helpful in making budgeting decisions easier, particularly amongst those with a low cognitive ability for budgeting.//
+  : 1. //Avoiding overspending: For most people with a reliance on cash, avoiding overspending and living within their means was the main reason for relying on cash. Respondents felt that using cash stops them from spending more than they have, helps them to keep track of spending, and puts enough friction into the payments process to allow them to evaluate whether they want to go through with the purchase. The physical nature of cash was also helpful in making budgeting decisions easier, particularly among those with a low cognitive ability for budgeting.//
-  - //Ingrained habit: In all human behavior, there is a default option. For those in this research, when budgeting, using cash is often the default option. Using a different approach to budgeting would be cognitively effortful for many, and for those with low financial capabilities, very challenging.//
+  : 2. //Ingrained habit: In all human behavior, there is a default option. For those in this research, when budgeting, using cash is often the default option. Using a different approach to budgeting would be cognitively effortful for many, and for those with low financial capabilities, very challenging.//
-  - //Distrust of alternatives: Many respondents have concerns about fraud, personal error, and privacy when considering using alternatives to cash such as credit or debit cards. Concern about fraud and personal error is often a function of low digital capacity.//
+  : 3. //Distrust of alternatives: Many respondents have concerns about fraud, personal error, and privacy when considering using alternatives to cash such as credit or debit cards. Concern about fraud and personal error is often a function of low digital capacity.//
 //This is largely supported by the FCA’s Financial Lives survey, which outlines that://
-  * //just over half (55%) of adults who rely on cash to a great or very great extent do so for reasons of convenience (e.g. because cash is more convenient (35%) or it is part of their daily routine
+   : a. //just over half (55%) of adults who rely on cash to a great or very great extent do so for reasons of convenience (e.g. because cash is more convenient (35%) or it is part of their daily routine
 (36%)). //
-  * //Under half (45%) rely on cash for budgeting reasons (e.g. to help them budget (33%)//
+   : b. //Under half (45%) rely on cash for budgeting reasons (e.g. to help them budget (33%)//
-The Better than Cash Alliance held an event and part of the program, they held a moderated an Oxford-style mock debate entitled //“Is Cash the Enemy of Financial Inclusion?”// which was a thought-provoking approach to discussing the pros and cons of cash in financial inclusion. Table {{ref>cashDebate}} is a summary of that debate.((
+The Better than Cash Alliance held an event and as part of the program, they held a moderated an Oxford-style mock debate entitled //“Is Cash the Enemy of Financial Inclusion?”// which was a thought-provoking approach to discussing the pros and cons of cash in financial inclusion. Table {{ref>cashDebate}} is a summary of that debate.((
 Better than Cash Alliance,
 __Is Cash the Enemy of Financial Inclusion?__,
@@ Line 410: / Line 418: @@
 | Cash works for people who are unbanked – they have developed mechanisms that allow them to operate in the cash economy, so why “fix” a system that is not broken?      | Digital payment services can bring huge cost savings and increase efficiency for payers. They are also often cheaper or the only access option for payees, especially in remote areas and rural communities |
 | People like cash because it is tangible (unlike a digital wallet) and is accepted anywhere, which is important for functioning in local market economies.              | Digital financial services allow people to manage their money, better control how they use their funds, save for unpredictable needs such as health and emergencies, and invest in business opportunities and in their household |
-| Cash can be cheaper because the ecosystem around it is mature versus a still growing digital systems, where players in the value chain are still looking for ways to get paid.  | Although cash is tangible and can be held in your hand, cash can be stolen or kickbacks required without a trace, which increases risks for people who use cash. |
+| Cash can be cheaper because the ecosystem around it is mature versus a still-growing digital system, where players in the value chain are still looking for ways to get paid.  | Although cash is tangible and can be held in your hand, cash can be stolen or kickbacks required without a trace, which increases risks for people who use cash. |
 | Digital systems take a long time to set up in uncertain environments and the current digital infrastructure does not solve the range of product and service needs – it’s better to reduce complexity, especially in uncertainty.  | Digital financial services provide clients, and women, in particular, greater privacy. |
 | Cash can be easily understood it does not require memorizing passwords, help from an agent, or waiting for ages to talk to a “help desk” when there is a problem.       | Digital services create a financial history over time, and give people pathways to greater inclusion |
@@ Line 418: / Line 426: @@
 </WRAP>|
 ^ R0011 ^ Increased **Risk** to consumer's vulnerability to: <WRAP>
-  - loss
+  : 1. loss
-  - theft
+  : 2. theft
-  - fraud
+  : 3. fraud
 </WRAP>| <WRAP> See **''P0027''**
 </WRAP>|
 ^ D0012 ^ **Design** should address privacy concerns by leveraging existing tools already in use by intermediaries |<WRAP>
-See section [[cbdc:private:cbdc_omg:04_doc:15_common:45_privacy:start]]/
+See section [[cbdc:public:cbdc_omg:04_doc:15_common:45_privacy:start]]/
 </WRAP>|
 ^ D0015 ^ **Design** should include any dedicated infrastructure required to provide a resilience to threats such as operational disruptions and cybersecurity risks |<WRAP>
-See answer to [[cbdc:private:cbdc_omg:04_doc:20_comments:dsn:q18]];
+See answer to [[cbdc:public:cbdc_omg:04_doc:20_comments:dsn:q18:start]];
 </WRAP>|
 ^ D0016 ^ **Design** should include offline capabilities to help with operational resilience of the payment system  |<WRAP>
-See answer to [[cbdc:private:cbdc_omg:04_doc:20_comments:dsn:q18]];
+See answer to [[cbdc:public:cbdc_omg:04_doc:20_comments:dsn:q18:start]];
 </WRAP>|
 ^ D0017 ^ **Design** should include digital payments in areas suffering from large disruption, such as natural disasters |<WRAP>
-See answer to [[cbdc:private:cbdc_omg:04_doc:20_comments:dsn:q18]];
+See answer to [[cbdc:public:cbdc_omg:04_doc:20_comments:dsn:q18:start]];
 </WRAP>|
-| **''B''** = [[cbdc:private:cbdc_omg:04_doc:12_summary:start#benefits| Benefit Considerations ]] |||
+| **''B''** = [[cbdc:public:cbdc_omg:04_doc:12_summary:start#benefits| Benefit Considerations ]] |||
-| **''P''** = [[cbdc:private:cbdc_omg:04_doc:12_summary:start#policy_considerations| Policy Considerations]] |||
+| **''P''** = [[cbdc:public:cbdc_omg:04_doc:12_summary:start#policy_considerations| Policy Considerations]] |||
-| **''R''** = [[cbdc:private:cbdc_omg:04_doc:12_summary:start#risks| Risk Considerations ]] |||
+| **''R''** = [[cbdc:public:cbdc_omg:04_doc:12_summary:start#risks| Risk Considerations ]] |||
-| **''D''** = [[cbdc:private:cbdc_omg:04_doc:12_summary:start#design| Design Considerations]] |||
+| **''D''** = [[cbdc:public:cbdc_omg:04_doc:12_summary:start#design| Design Considerations]] |||
 </table>
-<color blue><todo @nick>Figure in Table 2 unreadable. also needs a key to explain colors. why is it there?</todo></color>
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