Over the past few years, there has been much discussion about Central Bank Digital Currencies (CBDCs). Some view them as the future of payment technology, while others fear they could limit citizens’ financial freedoms.

At Quantoz, we believe that CBDCs can actually increase financial liberties and provide a digital alternative to paper money. In this article, we will explore why CBDCs are needed in our modern world and how our NEXUS software can power the new generation of digital cash.

While paper money notes have long been an integral part of the payment infrastructure worldwide, they are losing popularity as more convenient payment solutions are introduced by traditional banks and fintech companies. However, the problem with these newer payment methods is that they are not issued by a Central bank, unlike paper money notes.

The value of paper notes is backed by the Central bank, which means that they have value because they represent a debt claim on the Central bank. But with private sector institutions, the value of an account is only guaranteed up to a certain amount, and may not be available at all times, especially during a financial fallout event.

This is where CBDCs come in – they can offer consumers the same guarantees as paper money notes, reducing the contingency effects of financial crises that result from increased reliance on private sector institutions. By providing a digital alternative to paper money, CBDCs can increase financial freedom and provide a secure and reliable payment method for consumers.

We have built our NEXUS technology to offer the same privacy and user control features of a cash solution while still offering regulatory oversight capabilities to the central banks that they need.

Our NEXUS solution is built to support custodial and none custodial wallets solution, and is an API first cost-efficient SaaS infrastructure that can be deployed according to our client needs. Included in our NEXUS offering are compliance and customer management tools that offer the issuer oversight over the holders of their coins and a 24/7 monitoring dashboard with alert signals to make sure that users can access their digital cash at all times. Additionally NEXUS comes with 13 different operator roles with different system permissions that have been developed to fit the needs of our institutional clients.

If you are interested in learning more about this functionality please feel free to reach out us and ask for a demo of our tools.