The mission of the Central Bank Counterfeit Deterrence Group (CBCDG) (originally designated as Special Study Group 2 or SSG-2 of the G10) is to investigate emerging threats to the security of banknotes and to propose solutions for implementation by issuing authorities. The CBCDG is a working group of 27 central banks and note printing authorities.
The CBCDG maintains a web site designed to advise the public about national laws related to the reproduction of banknotes.
In 2004, CBCDG announced the development of a "Counterfeit Deterrence System" (CDS) incorporating a technical means for the detection of banknotes. This system was reportedly developed by the U.S.-based watermark technology company Digimarc. CBCDG said that the purpose of this system was to "prevent personal computers and digital imaging tools from capturing or reproducing the image of a protected banknote."
Adobe Systems was subsequently the subject of controversy in when it was revealed that the firm had voluntarily adopted the CDS in Adobe Photoshop, preventing Photoshop from processing some images of currency. Jasc (publisher of Paint Shop Pro) and Adobe stated that they had implemented CDS; they reportedly did not receive technical details of the CDS algorithm (in other words, it was provided to them as a black box). Some artists and professional graphic designers suggested that the CDS would make it more difficult for them to use Photoshop to produce images that used currency in lawful ways. Steven J. Murdoch has begun a technical investigation of how the CDS works.
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