Legal potential of international financial organizations on the introduction of monetary and financial digitalization

Abstract

The article is devoted to the legal aspects of the activities of international organizations on the implementation of digitalization in the sphere of the monetary and financial system at the domestic and global levels. The purpose of this work is to study a new financial system that is based on the digitalization of the money supply of the world and regional currencies and on their interaction with national currencies. The novelty of the topic of this article is that the digitalization of the monetary and financial system is a new topic today, even for financiers and economists (both scientists and practitioners). The topic of international legal regulation of the processes of digitalization of the monetary and financial system is practically not studied in the science of international law of both the CIS countries and the Western states. The relevance of this topic is predetermined by the course of development of the scientific and technological revolution, which brings digitalization in the economy, production, trade, finance, and currency to the fore. The essence of the article is that the author makes proposals for introduction of digitalization in the monetary and financial system of each state, for introduction of digitalization in the monetary and financial system of each international regional bank. The author of the article also suggests that the SDR of the International Monetary Fund should become the world’s digitalized currency. SDR refers to Special Drawing Rights (Special Drawing Rights), which is issued by the International Monetary Fund as a reserve and means of payment. Based on the current trends in the development of monetary and financial digitalization, this work combines various scientific research methods: the method of empirical analysis, the method of comparative legal analysis, the method of logical analysis, as well as the method of scientific forecasting. The scientific significance of this work lies in the fact that it makes a certain theoretical contribution to solving the problems of introducing monetary and financial digitalization into the currency system at the national and international levels. The practical significance of digitalization lies in the multiple acceleration of the turnover of financial resources within states and in the world, in the introduction of transparency of all financial transactions, in a sharp decrease in the level of monetary and financial fraud and corruption actions. Keywords: financial digitalization, cryptocurrency, the right of fiat currency, currency law, cybersecurity, the right of currency transformation.