Description
Over 90 central banks are pursuing the development of their own digital currencies. Although few have launched so far, the potential for central bank digital currency (CBDC) – digital money that the consumer will be able to hold directly – promises a revolution in retail banking and the international monetary system. The advent of digital stablecoins and the decline of cash are two of the factors prompting the examination of digital currencies by the world’s central banks. Choices need to be made as to their design and the resilience of the technology on which they will be based along with an assessment of the potential impacts on consumer security and privacy. In this wide-ranging review, Michael Lloyd explores the potential opportunities and threats that the advent of CBDCs will have for commercial banking, business, individuals and the central banks themselves, as well as the world’s monetary system.
