BIS Announces Appointment of Raphael Auer as Head of the Innovation Hub Eurosystem Centre

On January 6, the Bank for International Settlements (BIS) announced the appointment of Raphael Auer as the Head of BIS Innovation Hub (BISIH) Eurosystem Center. With his wide work experience, Auer will help spearhead the vision and strategy of the Eurosystem Centre whose main functions involve overseeing the development of RegTech and SupTech, central banks digital currencies (CBDCs) and the ‘next-generation’ financial markets infrastructures. The Eurosystem Centre, which will be opened in the first half of 2022, would have locations in Paris and Frankfurt. The Eurosystem is constituted of the European Central Bank (ECB) and the Central Banks of the 19 European Union (EU) member states that use the Euro.

The BISIH Eurosystem Centre is joining a growing network of BIS Innovation Hub centers that the BIS has established across the world. The BIS Innovation Hub was developed two years ago to become a focal point for central bank experts on innovation, to explore the development of tools to enhance the functioning of the global financial system and to identify and develop insights into fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term trends.

Currently, Auer serves as the principal economist in the BIS’ Monetary and Economic Department, working with a unit committed to Innovation and the Digital Economy. Auer’s current role focuses on cryptocurrencies, stablecoins and CBDCs. Prior to joining BIS in 2015, Auer worked at the Swiss National Bank as its Deputy Head of International Trade and Capital Flows. He holds a PhD in economics from the Massachusetts Institute of Technology. Additionally, he expects to start his new role in February 2022.

Benoît Cœuré, the Head of the BIS Innovation Hub Hub A hub as its name suggests describes the center of activity or a focal point. In terms of finance, the term hub can refer to Hub and Spoke Trading or a liquidity hub. However, the terms are not interchangeable, but they do overlap. Hub and Spoke trading refer to a network that posts bids and offers for an asset and therefore creates a real market. For example, Hub and Spoke trading allow traders to see the other submissions and offers from other traders on the platform. This is a popular method A hub as its name suggests describes the center of activity or a focal point. In terms of finance, the term hub can refer to Hub and Spoke Trading or a liquidity hub. However, the terms are not interchangeable, but they do overlap. Hub and Spoke trading refer to a network that posts bids and offers for an asset and therefore creates a real market. For example, Hub and Spoke trading allow traders to see the other submissions and offers from other traders on the platform. This is a popular method Read this Term, commented: “I am delighted that Raphael is joining the Innovation Hub team. His deep-seated knowledge of digital currencies and financial technology gained through his extensive experience as a policy and research economist will strengthen the intellectual foundations of practical experimentations conducted by the Innovation Hub. The Eurosystem centre's work will be a key part of the Innovation Hub's growing project portfolio and will connect us with the euro area's vibrant innovation ecosystem.”

How BIS Innovation Hub Is Creating Enabling Fintech Ecosystems

The BIS Innovation Hub was established in 2019 and maintains centers in London, Singapore, Hong Kong, Stockholm and Switzerland, with further centers planned to be opened soon in Frankfurt, Paris and Toronto. The BIS recently formed a strategic partnership with the Federal Reserve Bank Of New York. The aim of the BIS Innovation Hub is to build deep insights into relevant technological developments that affect central banking and to develop public goods on the technology landscape geared toward improving the functioning of global banking and financial services. Furthermore, BIS employees work on various projects at the BIS Innovation Hub’s centres.