Central Banks Don’t Seem To Be Losing Interest In CBDCs

Central banks are still looking into digital currencies and don’t seem to be stopping. According to new data from the bank for International Settlements, 15 retail CBDCs and 9 trade CBDCs are expected to be in use by the end of the decade.

According to the BIS’s analysis of replies from a poll of 86 central banks, the majority are investigating central bank digital currencies (CBDCs), and more than half are engaged in actual experiments or are developing a pilot.

Based on the responses, it can be seen that 93% of respondents are now working in some capacity related to CBDC, up from 90% last year, and that progress on retail CBDC is further along than on wholesale CBDC.

The report also demonstrates that most central banks see potential value in having both a retail CBDC and a quick payment system, with the impetus being strongest in developing nations where such initiatives are seen as a way to attract more people to the banking system.

Still, the recent crash of the crypto market has caused some supporters to change their minds. Over the past year, more and more supporters have said they are unlikely to issue a CBDC anytime soon.

In addition, the survey reveals that stablecoins and other cryptoassets are rarely used outside the crypto ecosystem.