Posts

• The Ecology of Automated Market Makers

  Staff Discussion Paper 2024-12 Annetta Ho, Cosmin Cazan, Andrew Schrumm

  This paper describes the ecology of automated market makers, which are the most popular decentralized exchange model for the pricing and trading of crypto assets within decentralized finance.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Digital currencies and fintech, Financial markets, Financial stability, Financial system regulation and policies JEL Code(s): G, G1, G2

• The Role of Public Money in the Digital Age

  Staff Discussion Paper 2024-11 Francisco Rivadeneyra, Scott Hendry, Alejandro García

  A well-functioning monetary system is characterized by public and private forms of money that exchange at par as value flows freely between them. A relevant retail public money—whether in the form of cash, a central bank digital currency or both—is a necessary component of such a monetary system.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Central bank research, Digital currencies and fintech, Payment clearing and settlement systems JEL Code(s): E, E4, E42, E5, E50, E58

• Untapped Potential: Mobile Device Ownership and Mobile Payments in Canada

  Staff Working Paper 2024-25 Marie-Hélène Felt, Angelika Welte, Katrina Talavera

  We present a two-stage model of mobile phone and mobile payment usage that controls for selectivity. This reveals unobserved factors that work against having a mobile phone and toward mobile paying. Therefore, people who are unable to acquire or choose not to own a mobile device might have unmet payment needs.

  Content Type(s): Staff research, Staff working papers Topic(s): Bank notes, Digital currencies and fintech, Econometric and statistical methods JEL Code(s): C, C3, C39, D, D1, D12, E, E4, E42
• July 9, 2024

  What drives up the price of groceries

  

  Weather, energy prices, and labour and import costs all contribute to higher grocery prices

  Content Type(s): Publications, The Economy, Plain and Simple Topic(s): Exchange rates, Inflation and prices, Inflation targets, Labour markets

• Analysis of DeFi Oracles

  Staff Discussion Paper 2024-10 Xun Deng, Sidi Mohamed Beillahi, Cyrus Minwalla, Han Du, Andreas Veneris, Fan Long

  Oracles are constructs used in decentralized finance to price assets relative to each other. However, oracles contain defects that could lead to manipulation attacks. Such attacks exploit pricing models embedded within oracles to defraud creators and users. We automatically verify defects, which if mitigated, improves the security of digital currency.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Central bank research, Digital currencies and fintech, Payment clearing and settlement systems JEL Code(s): E, E4, E42, E5, E51, G, G1, G15, O, O3, O31

• Deriving Longer-Term Inflation Expectations and Inflation Risk Premium Measures for Canada

  Staff Discussion Paper 2024-9 Bruno Feunou, Zabi Tarshi

  We present two models for long-term inflation expectations and inflation risk premiums for Canada.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Econometric and statistical methods JEL Code(s): C, C5, C58, E, E4, E43, E47, G, G1, G12
• July 8, 2024

  CARR Meeting (July 8, 2024)

  Content Type(s): Meetings Source(s): Canadian Alternative Reference Rate Working Group
• July 4, 2024

  International Conference on Payments and Securities Settlement: Data and Information

  The Deutsche Bundesbank will host the International Conference on Payments and Securities Settlement: Data and Information in Eltville, Germany on July 4 and 5, 2024.

  Content Type(s): Conferences and workshops

• 2023 Methods-of-Payment Survey Report: The Resilience of Cash

  Staff Discussion Paper 2024-8 Christopher Henry, Matthew Shimoda, Doina Rusu

  We present key results from the 2023 Methods-of-Payment Survey. Results show that measures of cash management and use have remained stable since 2020, and that Canadians increased their adoption of payment alternatives such as mobile apps in 2023.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Bank notes, Digital currencies and fintech, Financial services JEL Code(s): D, D8, D83, E, E4, E41

• The Output-Inflation Trade-off in Canada

  Staff Discussion Paper 2024-7 Stefano Gnocchi, Fanny McKellips, Rodrigo Sekkel, Laure Simon, Yinxi Xie, Yang Zhang

  We explain how the Bank of Canada’s policy models capture the trade-off between output and inflation in Canada. We provide new estimates of the trade-off and contrast them with those in the Bank’s macroeconomic models.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Business fluctuations and cycles, Econometric and statistical methods, Inflation and prices, Monetary policy transmission JEL Code(s): E, E3, E31, E5, E52