Compliance and Regulation
In the CBDC environment, Compliance and Regulation are crucial. Central banks supervise and enforce compliance requirements and regulatory measures for CBDC operations at the scenario level to ensure the legitimacy and stability of CBDC：
Compliance with laws and regulations: The CBDC system must comply with applicable laws and regulations. Central banks and relevant regulatory agencies will formulate regulations to regulate the operation and use of the CBDC system. Involving payment services regulations, AML and anti-terrorist financing (CFT) regulations, data privacy regulations, etc.
KYC and AML: The CBDC system needs to comply with KYC and AML requirements to ensure user Identity Verification and Know Your Customer compliance.
Fund security and protection: The CBDC system needs to ensure the security and protection of user funds. Involving the establishment of a secure fund custody mechanism, the use of multi-signature and multi-factor authentication to protect user assets, and the establishment of robust security defenses to prevent unauthorized access and attacks.
Data privacy and protection: The CBDC system must comply with relevant data privacy laws and regulations to protect users' personal data and privacy. Including explicit privacy policies, user informed consent, data encryption and anonymization, and strict control of access and use of sensitive data.
Regulatory cooperation and reporting: The CBDC system needs to cooperate with regulatory agencies and report the operation and risk status of the system in a timely manner. Including providing regular reports to central banks and other regulatory agencies, accepting regulatory audits and evaluations to ensure system compliance and stability.
Risk management and disaster recovery: The CBDC system needs to establish a risk management framework to identify and assess potential risks and take appropriate measures to manage and mitigate these risks. Including establishing disaster recovery and business continuity plans to deal with system failures, natural disasters and other emergencies.