Central bank digital currency (CBDC)
Implementation of Retail central bank digital currency (CBDC) in India: How will it impact the existing payment channels and how can it enhance digital payments? Central Bank of India e.g., RBI controls the monetary policy of India through money regulation (majorly Fiat money) and is likely to introduce digital currency based on blockchain technology. so, central bank digital currency (CBDC) can be defined as the virtual or digital asset version of the fiat currency. Unlike cryptocurrency, digital currency is not decentralised, while it aims to improve the efficiency of payment and financial inclusion. As per the RBI concept note on CBDC the key motives to introduce the digital currency as a sovereign currency, CBDC has special advantages over central bank money, such as integrity, trust, safety, and liquidity. Among other reasons, lowering operational costs associated with physic...