No central bank is currently working on a central bank-issued digital currency (CBDC) that can be used by consumers, according to blockchain company R3.
According to a recent R3 report, no central bank is currently developing a CBDC. As the authors of the document explain, CBDCs are divided into wholesalers and retailers: the former is limited to commercial banks, while the latter can affect businesses, small businesses, and even individuals.
The report explains that a wholesale CBDC is just a new modernization move for central banks, while a retail CBDC “is an opportunity to expand central bank access to digital money.” Interestingly, the report clearly states that all CBDC projects currently underway by central banks around the world are aimed at creating wholesale CBDC systems:
“Unlike CBDC in wholesale, CBDC in retail is currently not in production. The term” retail “generally refers to the general public, businesses, and certain financial institutions that currently do not have access to bank funds. As a result, experiments are in space incredibly new, central banks around the world […] They begin to provide resources to implement the CBDC for retail. “
The CBDC room is developing rapidly
While these systems can differ significantly from the expected “digital money”, CBDCs are being extensively researched and developed worldwide. A particularly well-known example is China’s digital currency, which, according to reports from mid-April, is currently being tested in four different cities in the country.
As Cointelegraph recently reported, rumors suggest that Starbucks and McDonald’s will also accept China’s CBDC.