Next Generation Money

Contents
1 Introduction   
2 The evolution of money: classification and new forms   
3 Practical examples of the use of tokenised money   
4 Which form of money for which use case?    
5 Glossary   

Tokenised money is becoming a key component of digital financial and the economic systems of the future. It allows payments to be integrated directly into digital processes, transactions to be processed automatically and new forms of economic interaction to be established. This goes beyond the functions of traditional forms of money and unlocks new potential for benefits and value creation. 

At the same time, we are seeing different forms of tokenised money emerging, and for good reasons. The various forms – in particular stablecoins, tokenised bank deposits and digital central bank money – differ in terms of accessibility, regulatory inclusion, technological architecture and economic function. 

Considering the specific use cases makes it clear that tokenised money is not an end in itself. Its benefits depend on the specific context in which it is used. Different use cases have different requirements, such as availability, programmability, integration into existing systems or regulatory safeguards. 

Stablecoins play a central role in consumer-facing applications, such as access to stable currencies or early forms of payment via autonomous AI agents. They are already available, can be used worldwide and are relatively easy to integrate into digital applications. At the same time, their potential uses are hampered by inconsistent regulatory requirements, as well as issues relating to stability and governance. 

Tokenised bank deposits are therefore becoming increasingly important for business applications and industrial processes. They enable programmable payments, close integration with existing banking and treasury systems as well as the automation of complex business processes, such as in supply chain financing, in liquidity management or Industry 4.0. Many of these use cases are currently located in the pilot or early implementation phases, but nevertheless show considerable potential for scaling up.