Lagarde is a proposed cryptocurrency created by the International Monetary Fund (IMF). It is intended to be a digital version of Special Drawing Rights (SDRs), which are an international reserve asset used by central banks and other financial institutions. Lagarde aims to provide a more stable, secure, and efficient means of payment than traditional currencies.
The idea for Lagarde was first suggested in 2019 as part of a broader IMF initiative aimed at modernizing the global monetary system. The proposal calls for the creation of a new type of SDR that would be issued in digital form on blockchain technology. This would enable faster, cheaper payments between countries and reduce transaction costs associated with existing mechanisms like SWIFT transfers or bartering services such as TARGET2-Securities.
In order to facilitate its rollout, Lagarde has been designed as two tokens: one pegged to the value of existing SDRs; another that fluctuates based on market forces like supply and demand. This will allow users to speculate on price movements while still having access to an underlying currency backed by global central banks and their issuing governments.
It’s important to note that Lagarde is not yet available for public use – it’s still under development by IMF staff members with contributions from experts around the world. As such, there are many details yet to be determined about how exactly it will work once launched but all indications suggest this could become an important part of our global economic infrastructure in the near future if approved by member states at the upcoming 2020 Annual Meetings later this year!
