Bank of England says retail CBDC wallet launch is ‘unlikely’.

Even if a positive decision is taken on issuing CBDC, the Bank of England does not intend to develop a wallet for retail use of the national digital currency. The Block reported this, according to Katie Forcun, a senior manager in the regulator’s CBDC division.

“I think it is safe to say that the launch of a retail wallet by the Bank of England is unlikely,” she said.

According to Forcun, it is more likely that such digital wallets would be developed by the private sector.

The Bank of England has not yet decided whether to launch CBDC. By the end of 2022, the central bank, together with the UK Treasury, will conduct public consultations on the topic.

Forcun noted that most of the technical aspects of the proposed instrument are not yet agreed. In her words, it remains unclear whether the CBDC will be based on blockchain technology.

“For us, this remains an open question. It is by no means assumed that the instrument will be built on blockchain, but it is not assumed that it isn’t,” said Forcun.

She added that the regulator is collecting opinions from experts drawn from bankers, fintech firms and scholars.

According to Forcun, if the Bank of England after publishing the consultative document decides to issue CBDC, the project will enter a development phase that envisages “the creation of some prototypes”.

She believes that the UK’s national digital currency will not see the light before 2025.

As previously reported, after the CBDC’s launch, 20% of deposits could move into the instrument from individuals and corporations.