The Power of Public Blockchains: SDF Contributes to OMFIF's Digital Assets 2024 Report

The Stellar Development Foundation (SDF) has long recognized the transformative power of public blockchains in reshaping financial access. Our latest contribution to this conversation is in the Digital Assets 2024 Report by the Official Monetary and Financial Institutions Forum (OMFIF).

OMFIF, an independent think tank for central banking, economic policy, and public investment, provides a platform for public and private sector engagement worldwide. This year’s report explores faster settlement times, settlement infrastructure, and the future of tokenized assets. SDF’s submission explores new ways to think about financial rails and centers the discussion on the use of public blockchains to process digital transactions.

SDF's piece, titled "The Power of Public Blockchains," dives into why public blockchains are not just a viable alternative to traditional financial infrastructures, but a robust and desirable one. The decentralized nature of public blockchains, far from being a drawback, is a feature that enhances their stability, security, and resilience.

1. The sustained uptime and resilience of public blockchains compared to current payment systems.
2. The strength of decentralized governance to manage and maintain these networks.
3. The ease for asset issuers to comply with regulations and safeguard users due to the flexibility of public blockchains.

This piece combines with past efforts to discuss and introduce public blockchains. Paul Wong, Director of Product, Central Bank Digital Currencies and Institutional Assets, explained their benefits at last year's joint conference with the Atlantic Council’s GeoEconomics Center and the Digital Dollar Project.

SDF's participation in this report reflects the Policy team's commitment to thoughtful analysis and discussion on public blockchains’ role in the present and future of finance. It builds on previous engagements, such as Chief Legal and Policy Officer Candace Kelly's discussion at the Financial Times' Crypto and Digital Assets Summit in London this May, 2024, where she discussed the virtues of public blockchains and advocated for the use of transparent systems.

SDF’s contribution to OMFIF’s Digital Assets 2024 Report shows our commitment to reach audiences outside of the digital assets industry to show how blockchain can help deliver faster, cheaper, and safer financial services.