Currency Issues Research Articles

The Distributive Impact of Unconventional Monetary Policies: Old and New

ABSTRACT In this paper we analyze the impact of less conventional monetary policy tools on the personal and functional distribution of income. We focus on the issuance of central bank digital currency (CBDC) in a comparative perspective, using a stock-flow consistent model of the eurozone economy. We consider two kinds of policies: helicopter money policies such as Quantitative Easing and the issuance of a CBDC; and scenarios not based on balance sheet expansions, such as an interest rate policy following the Pasinetti Rule, or a sterilized issuance of CBDC. Monetary policies using CBDCs tend to increase the wage share at the expense of financial rents. The targeted issuance of CBDCs to firms might produce an increase in GDP, corporate profits, and the wage share. The Pasinetti Rule reduces personal income inequality the most, but if applied mechanically, its impact on growth is also the least desirable.

The current state of domestic legislation in the field of turnover of digital currencies and digital assets and law enforcement issues in the criminal sphere

The article analyzes the provisions of Federal Law No. 259-FZ dated 07/31/2020 «On Digital Financial Assets, Digital Currency and on Amendments to Certain Legislative Acts of the Russian Federation» regarding the legal regulation of the circulation of digital currencies, including issues of law enforcement in criminal proceedings. Based on the study of such concepts as «digital currency», «digital ruble», «issue of digital currency», «turnover of digital currency», «cryptocurrency», their disadvantages are noted. In general, the adoption of Law No. 259-FZ did not lead to the creation of a full-fledged system of legal regulation of the circulation of digital currencies, its provisions are fragmentary and largely controversial, and judicial practice is not uniform in cases related to the circulation of digital currencies (cryptocurrencies). The article highlights controversial issues arising in law enforcement practice related to the criminal law regulation of the digital economy. It is noted that to date, there has not yet been a clear definition of either digital currency or cryptocurrency as the subject (means) of a criminal act. It is obvious that the recognition of digital currency as property under criminal law will expand the list of crimes in which virtual currency can be the subject of a crime.

Manifestations of Infringement on the Public Authority's General Jurisdiction in Currency Issuance and Management from an Islamic Perspective

Objectives: This study aims to identify and analyse the forms of infringement on the sovereign right of public authority in the issuance and management of currency, particularly in the context of the fractional reserve banking system and the technological advancements facilitated by globalisation, which have enabled the creation and promotion of virtual currencies. Methodology: The study adopts a composite method that combines historical induction and logical reasoning to explore the forms of infringement on the general jurisdiction of the authority associated with both traditional and emerging forms of currency. Findings: The study concludes that safeguarding public authority's exclusive and disinterested right in currency issuance and management is a priority in Islamic legal policy. Such necessitates caution against forms of infringement that violate this right due to their impact on the fairness and efficiency of the monetary system. Originality: This research's originality lies in its characterisation of the generation of credit money and the issuance or mining of virtual currencies as contemporary forms of infringement on the authority's general jurisdiction, akin to the counterfeiting of paper money.

Research on the issues of digital currency from the perspective of international tax system

Research on the issues of digital currency from the perspective of international tax system

Monetary Policy, Capital Regulation and Systemic Risk in Commercial Banks: Evidence from in China

This paper examines the impact of monetary policy and capital regulation on commercial banks' systemic risk using a fixed panel model with data from 16 listed commercial banks in China from Q1 2011 to Q4 2019. The results show that both quantity-based monetary policy instruments, represented by currency issuance, and price-based monetary policy instruments, represented by interest rates, affect systemic risk. And they both show that accommodative monetary policies amplify commercial banks systemic risk. Besides, capital regulation has a dampening effect on systemic risk, and the intensity of regulation moves inversely with systemic risk. In addition, there is a synergistic effect between monetary policy and capital regulation. Furthermore, a symbiotic relationship exists between monetary policy and capital regulation. The findings of this study assist nations in managing systemic financial risks through macroeconomic policies.

ტრიფინის პარადოქსი ოცდამეერთე საუკუნეში

This article presents a fresh perspective on the Triffin Paradox, a concept introduced by economist Robert Triffin in the mid-20th century that continues to have a significant impact on global financial systems and policies. Despite the passage of time and the evolution of the economy, the fundamental principles of the Triffin Paradox remain relevant in today's financial discussions. The paper provides a thorough analysis of the ongoing relevance of the Triffin Paradox in the modern global economy. It draws upon historical context, theoretical frameworks, and empirical evidence to shed light on how the paradox continues to manifest itself in the current financial landscape. Specifically, it explores how the dominance of the U.S. dollar as the world's primary reserve currency perpetuates structural imbalances and systemic vulnerabilities, echoing the concerns raised by Triffin. Moreover, the paper delves into the implications of the Triffin Paradox for various stakeholders, including policymakers and central banks. It examines the challenges posed by the pursuit of domestic monetary policy objectives in an interconnected world, where the stability of the global financial system relies heavily on the stability of the reserve currency issuer. Additionally, the paper explores potential strategies for mitigating the risks associated with the Triffin Paradox and fostering a more sustainable international monetary order. By integrating insights from economics, finance, and international relations, this paper contributes to a deeper understanding of the Triffin Paradox and its enduring significance in shaping contemporary financial dynamics. It emphasizes the need for policymakers and stakeholders to address the inherent structural tensions in the global monetary system, with the goal of promoting financial stability, economic resilience, and inclusive prosperity worldwide.

The dollar versus the euro as international reserve currencies

We begin by examining determinants of aggregate foreign exchange reserve holdings by central banks (size of issuing country’s economy and financial markets, ability of the currency to hold value, and inertia). But understanding the determination of reserve holdings probably requires going beyond the aggregate numbers, instead observing individual central bank behavior, including characteristics of the holding country (bilateral trade with the issuing country, bilateral currency peg, and proxies for bilateral exposure to sanctions), in addition to the characteristics of the reserve currency issuer. On a currency-by-currency basis, US dollar holdings are somewhat well explained by several issuer characteristics; but the other currencies are less successfully explained. It may be that the results from currency-by-currency estimation are impaired by insufficient sample size. This consideration offers a motivation for pooling the data across the major currencies and imposing the constraints that reserve holdings are determined in the same way for each currency. In this setting, most economic determinants enter with significance: economic size as measured by GDP, bilateral currency peg, and bilateral trade share. While one geopolitical factor (congruence in voting in the UN) is typically significant in the expected manner (with the exception of the US dollar), the other geopolitical factor (sanctions) does not enter with significance.

Fake Currency Detection Using Deep Learning

Fake currency is the money produced without the approval of the government, creation of it is considered as a great offence. The progression of shading printing innovation has expanded the rate of Fake currency copying notes on a large scale. Albeit electronic monetary exchanges are turning out to be more popular and the utilization of paper cash has been diminishing as of late, banknotes still remain in distribution attributable to their dependability and straight forwardness in use. Few years ago, the printing should be possible in a printing-houses, yet presently anybody can print a money paper with most extreme exactness utilizing a straightforward laser printer. As an outcome, the issue of duplicate currency rather than the authentic ones has been increases generally. India had reviled the problems like defilement and dark cash and fake of money notes is likewise a big issue to it. To handle this problem, a deep learning-based framework is proposed to identify the fake Indian currency. The MATLAB tool has been used to identify the fake currency. The outcome will classify whether the Indian currency note is Real or Fake

Formation of an Effective System of Currency Regulation and Control in Russia

In the course of the conducted research, specific problems of the system of currency regulation and control related to negative trends in the Russian foreign exchange market in modern realities have been identified. Based on the evolution of the global and domestic system of currency regulation and control, trends and priority directions of its development have been identifi ed. Measures have been formulated to improve the system of currency regulation and control and increase their effectiveness, which can be used to develop drafts of existing regulatory legal acts and to form the main directions of monetary policy in our country. The categorical apparatus of currency issues has been supplemented on the basis of a comprehensive review of the system of currency control and currency regulation from various points of view. The concepts of "currency control", "currency regulation" and "currency off ense" have been clarifi ed. The consolidation of the basic concepts at the legislative level,the introduction of a currency monitoring system will minimize the number of currency violations and reduce labor costs when working out violations. The study confirmed the need to develop alternative channels of work in connection with the shutdown of the SWIFT system and the promotion of integration processes within the EAEU, which will eliminate many economic risks and ensure Russia’s resistance to sanctions. The proposed innovations will help to develop foreign economic relations between the countries more efficiently, dynamically and qualitatively.

Modern Monetary Theory and Energy Conservation: An Institutionalist Approach to Fiscal Policy and Energy Conservation

Abstract: This paper will set out to develop a policy proposal that is couched in the Modern Monetary Theory (MMT) framework of fiscal policy analysis. MMT teaches us that a sovereign government that issues a free-floating currency is not bound by the tenets of what can be termed “sound finance.” Sound finance suggests that all government spending is preceded by the taxing or borrowing of the currency being spent. According to MMT, since the currency is issued by the sovereign nation during the process of spending, then this spending must take place before any taxing or borrowing is done. A federal deficit is not something to be eliminated but is the normal situation, with inflation being the only real measure of spending exceeding economic capacity. Sovereign governments are currency issuers, and the money has value if the government is willing to accept it in payment to itself. This creates policy space for spending programs that are socially and ecologically beneficial. Similarly on the tax side, there is policy space to structure the tax system in a politically determined way. The tax system is one way in which the citizens of a nation engage economically with the government. The tax obligation serves as a value anchor for the fiat currency. The tax system can be designed to incentivize behavior in line with a more ecologically sustainable future. This paper will suggest that by taxing living space in a progressive manner, multiple social and economic goals can be accomplished as the economy is transitioning toward a more environmentally sustainable future.

Identification of Fake Currency Using Convolution Neural Network

The progression of shading printing innovation has expanded the rate of Fake currency copying notes on a large scale. Albeit electronic monetary exchanges a returning out to be more popular and the utilization of paper cash has been diminishing as of late, banknotes still remain in distribution attributable to their dependability and straight forwardness in use. Few years ago, the printing should be possible in a printing-house, yet presently anybody can print a money paper with most extreme exactness utilizing a straightforward laser printer. As an outcome, the issue of duplicate currency rather than the authentic ones has been increases generally. India had reviled the problems like defilement and dark cash and fake of money notes is likewise a big issue to it. To handle this problem, a deep learning- based framework is proposed to identify the fake Indian currency. The MATLAB tool has been used to identify the fake currency. The outcome will classify whether the Indian currency note is Real or Fake.

Implementation of Economic and Fiscal Systems (Case Study of the Umayyad Period)

During the Umayyad period, policies emerged in the form of development of the Islamic economic system in terms of stock trading, murabahah, muzara'ah, and the work of Al Kharaj. His government. This article uses a qualitative literature review approach by collecting data from a number of literature-based books, which will then be reviewed and processed to obtain appropriate findings. This technique is known as the documentation method.The results and discussion of the article are that during the Umayyad Daulah era, Islamic economic development policies emerged in the form of increasing economic growth and development, namely trade, agriculture and industry, fiscal reform and currency creation. The development of Islamic economic thought during the Umayyad Daulah period. During the reign of the 3 caliphates, namely the First Caliph Mu'awiyah Bin Abu Sofyan, he was able to implement progressive policies and bring success to the Muslim economy at that time. Mu'awiyah bin Abu Sofyan was a figure who was skilled at being an organizer and drafter, this skill was able to reduce the chaos at that time well, and was able to build a Muslim society with good order; The second caliph, Abdul Malik bin Marwan, during his leadership, policies included: 1. Currency Issuance 2. Postal Institutions 3. Restrictions on Urbanization 2 4. Agriculture 5. Trade 6. Kharaj and Zakat; The third caliph, Umar bin Abdul Aziz, during his leadership, policies included: 1. Eliminating discrimination 2. Zakat 3. Administration 4. Agriculture 5. Kharaj and Jizyah.

Studies Into the Potential Replacement of Swift with Digital Currency: Technology, Regulation, and the Market

With the rapid development of digital currency and blockchain technology, digital currency has attracted widespread attention as a new payment method. As a traditional cross-border payment and settlement method, SWIFT has significant advantages in its market position and technical capabilities. However, as a new payment method, digital currency has the advantages of speed, low cost, and no geographical restrictions, so it may become a substitute for SWIFT. This paper aims to study the possibility of a digital currency replacing SWIFT, focusing on the challenges and opportunities of digital currency in terms of technology, regulation, and market. In terms of technology, this paper would analyze the advantages and disadvantages of digital currency and blockchain technology and explore the technical application of digital currency in cross-border payment and settlement. In addition, this paper would also analyze technical issues, such as the security and scalability of digital currency, and propose corresponding solutions. In terms of regulation, this paper would analyze the regulatory framework and compliance requirements of digital currencies and the status and role of digital currencies in the international financial regulatory system. This paper would also explore the regulatory and compliance issues of digital currency and propose suggestions and solutions for digital currency regulation. In terms of market, this paper would analyze the competitiveness and application potential of digital currency in the international trade and cross-border payment markets, as well as the market prospect and business model of digital currency. In addition, this paper would also analyze the advantages and disadvantages of digital currency and traditional payment methods, as well as the challenges of digital currency in marketing and application. Through the analysis and discussion of technology, regulation, and the market, this paper aims to provide a theoretical and practical basis for digital currency to replace SWIFT and a reference for relevant policy formulation and practice. This paper provides a comprehensive and in-depth analysis and research on the possibility of a digital currency replacing SWIFT, covering technical, regulatory, and market issues. The structure of the thesis is clear, the logic is rigorous, the argument is clear, and it has innovation and practical value. This paper has important theoretical and practical significance in the continuous development and application of digital currency and blockchain technology. It has specific references and inspiration for research and practice in related fields.

The History of The Development of Rupiah Currency at The Bank Indonesia Museum

Currency as a medium of exchange not only has intrinsic value as an economic tool, but also serves as a mirror that reflects the history, culture, and identity of a nation. In the context of Indonesia, the Rupiah currency is not just a sheet of paper or coins but is a legacy that carries the long story of this nation's journey from time to time. Over time, the Rupiah currency has undergone a transformation that includes economic, political, social, and cultural aspects. The rupiah is divided into cents, and its coins and banknotes have various denominations. Bank Indonesia is the monetary authority responsible for the issuance and management of currency in Indonesia. The history of the Indonesian currency reflects the economic development and history of the country throughout time. The collection of artefacts at Museum Bank Indonesia includes a variety of historical objects that reflect economic and financial developments in Indonesia. These include ancient currency, traditional means of payment, banking-related historical documents, as well as other items that have historical value.

Challenges and Achievements of the Nanjing National Government's Fiat Currency Reform from 1935 to 1937

The Fiat Currency Reform in China holds a significant milestone in its financial history. In the 1930s, the Nanjing Nationalist government successfully tackled the deflation caused by the silver crisis and achieved national currency unification through currency reform. Simultaneously, this reform drove domestic economic development, preparing the nation for the subsequent resistance against Japanese aggression. Before this period, numerous scholars had examined currency reform. However, few have connected this policy and its profound impact on the current economic situation. This paper aims to study the currency reform by analyzing its historical context, specific measures, and its effects. It also summarizes its relevance to contemporary China's economy. Presently, China faces issues such as economic stagnation, a sluggish domestic market, and a heavy debt burden. The Chinese government can draw lessons from the currency reform by implementing policies like increased currency issuance and lowered interest rates to stimulate the market, attract foreign investment, and find a way forward for the future development of the Chinese economy.

Economic Performance of Nasser Gholi Ardalan (Representative of Sanandaj in the Fourteenth to Sixteenth Terms of the National Consultative Assembly)

Nasser Gholi Ardalan was one of the representatives of Sanandaj in the National Consultative Assembly during its fourteenth to sixteenth terms. His economic performance in the Assembly experienced ups and downs. Some of his economic actions were marked by moderate policies and leniency, while in other instances, his economic and financial actions left diverse impacts on the Assembly, leading to various transformations. The issue addressed in this study is the examination and evaluation of Nasser Gholi Ardalan's economic plans and programs, which has been conducted descriptively and analytically based on the minutes of the National Consultative Assembly, archival sources, and historical data. According to the findings of this study, Nasser Gholi Ardalan was one of the most active representatives in economic discussions, both at the national and regional levels, during the fourteenth to the end of the sixteenth terms of the National Consultative Assembly. His involvement spanned areas such as the annual and current government budgets, currency issuance, taxation, and more. He was attentive to economic issues and the people's problems and did not hesitate to criticize and caution the government when necessary.

Особенности налогообложения операций с цифровой валютой

The subject of the study is the taxation of transactions with digital currency. The objectives of the work are to establish the key features of taxation of transactions with digital currency in the Russian Federation, to determine approaches to making changes to regulatory legal documents. The relevance of the work is due to the accelerating development of digital technologies, in which the legislator does not have time to develop and adopt appropriate legislative acts. Based on the analysis of the legislation of the Russian Federation, draft laws, letters from the Ministry of Finance and the Federal Tax Service of Russia, program documents of the Bank for International Settlements, scientific publications of Russian and foreign researchers, the concepts of cryptocurrency, digital currency, digital financial assets, mining of cryptocurrencies for tax purposes have been clarified. The differences in the interpretations of the concepts of various types of digital assets according to the method of creation and the purposes of their use are highlighted. The features of taxation of transactions with digital assets in terms of value added tax, corporate income tax, and tax paid under the simplified taxation system are described. It is concluded that for the purposes of calculating VAT, digital currency can be qualified as property. Cryptocurrency should be defined as a digital currency. When mining cryptocurrencies using mining equipment that is actually located on the territory of the Russian Federation, the service for organizing the issuance of digital currency takes place on the territory of the Russian Federation. It is proposed to exclude contradictions in the definition of the law enforcement of new digital technologies in the country's economy from the legislation, which will allow subjects of foreign economic activity to use digital technologies in the legal field, without expecting possible negative legal consequences.

Алгоритм создания региональной системы взаимных расчетов в ЕАЭС с использованием коллективной денежной единицы

The relevance of the article is to identify approaches to the issue and circulation of collective currency within the group of countries of the EAEU regional bloc to overcome sanctions barriers due to the depersonalization of the currency. The subject of the study is a mechanism in the form of a collective monetary currency that allows adapting the monetary circulation system of the EAEU member states to intraregional settlements. The purpose of the work is to establish the characteristics and nature of the collective currency, the risks of using which may arise as a result of its use in the group of EAEU countries. The results of the study are summarized in specific program activities that can form the basis of an updated agenda for regional monetary and financial integration within the EAEU countries in the context of current development trends. Based on the law of causation, conclusions have been obtained that are of significant economic importance for the EAEU member states in terms of the socio-economic development of countries and their involvement in the turbulent global monetary and financial system. The role and functions of the collective currency have been clarified, taking into account the adaptation of the Russian financial system to the consequences caused by the current Western sanctions. It is concluded that currently there is a rethinking of the tasks that can be assigned to collective currencies from the standpoint of digitalization of the monetary circulation and credit system and the loss of their national characteristics by money.

Fake Currency Detection

Due to the great technological developments in the field of color printing in the past few years, it is becoming increasingly recognized that counterfeiting is a serious problem. It used to be possible and very simple for anyone to quickly prepare and print counterfeit currency notes using a computer and a laser printer at homes or places of employment. In the past, only printing houses had these facilities. The most crucial issue is now how to accurately distinguish fake currency from real currency using automatic machines. Almost all nations struggle greatly with the issue of counterfeit currency notes. But since counterfeiting has become such a pressing issue in India, it is thought to be the most serious issue there. Therefore, it is necessary to create a module that will aid in the quick and efficient recognition and detection of paper currency notes. An approach for the identification and verification of Indian currency is described in this proposed system. The authenticity of the currency will be verified using image processing methods, regardless of whether it is genuine.

A multi-player game equilibrium problem based on stochastic variational inequalities

<p>In this paper, we studied a generalized Nash equilibrium problem where the constraint conditions were limited to a certain probability. The existence of an equilibrium solution for the vector-valued optimization problem was verified using Ky Fan's inequality and Lusin's theorem, considering the conditions of lower semi-continuity and concavity. Based on the study of the variational inequality method, we proposed a new algorithm to solve the problem. Furthermore, we analyzed the convergence of the algorithm. Finally, we applied the model to examine the economic benefits of digital currency issuance, corroborating the algorithm's effectiveness with a concrete numerical example.</p>