Consumers could be using a new digital pound as an alternative to cash by the end of the decade under plans being drawn up by the Bank of England and the Treasury. The government is speeding up its response to the rise of privately issued cryptocurrencies and stable coins with a four-month public consultation process on a "Britcoin" starting on Tuesday. After the volatility of cryptocurrencies and the collapse of the crypto exchange FTX, the Bank and the Treasury will seek to reassure the public that a state-backed digital currency would be as safe as cash. Officials will explore the technical issues involved in creating a central bank digital currency before a final decision is taken by the middle of the decade. Jeremy Hunt, the chancellor of the exchequer, and Andrew Bailey, the Bank of England governor, say the government could still decide against going ahead but momentum is building behind the idea.
