A Survey of Research on Retail Central Bank Digital Currency

Kiff, John; Farias, Aquiles; Khan, Ashraf; Khiaonarong, Tanai; Malaika, Majid; Monroe, Hunter; Sugimoto, Nobu; Tourpe, Hervé; Zhou, Peter

doi:10.2139/ssrn.3639760

Cited by 44 publications

(28 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…When monetary policy is not credible, CBDC are likely to be viewed only as a more preferable from the payment convenience side but not from the side of equal alternative to traditional money enhanced by a new technology. Similar view is shown byKliff et al (2020). They stress that central bank's digital money issue an advantage by the definition because of legal tender, backing by monetary authority assets added by tie to conventional fiat money with peer-to-peer transactions possibilities and programming (design by choice).…”

mentioning

confidence: 64%

“…It should be pointed that these tight relationships are all with the theoretically predicted sign even when variables are not theoretically biased. Kliff et al (2020) explore the idea that central banks recognize the age factor as an obstacle of monetary system digitalization. So, this is a good evidence why the age structure is so important for generating confidence in digital money.…”

Section: Resultsmentioning

confidence: 99%

See 1 more Smart Citation

Confidence in digital money: Are central banks more trusted than age is matter?

Козюк

2021

Investment Management and Financial Innovations

View full text Add to dashboard Cite

The virtual nature of digital money is fueling the conflict between usability, functionality and trust in the digital form. Institutional trust drivers should move forward in understanding the nature of confidence in digital money. Do central banks digital money (CBDC – central bank digital currency) and private cryptocurrencies demonstrate the same or different trust patterns? The paper used the general regression method to discover the relationship between trust in different forms of digital money and selected variables that may generate this trust. Simple empirical tests were sufficient to find the fundamental importance of age as a confidence driver relevant to CBDC and cryptocurrencies. It is found that traditional factors associated with the inflation history and quality of monetary order (central banks independence and rule of law) do not play a role in the case of CBDC, but are important in the case of cryptocurrencies. Structural features (like FinTech development or social trust) that should support trust in digital money are not found to be important. Societies with larger fraction of younger generations demonstrate higher confidence in centralized and decentralized forms of digital money. This challenges the traditional approach to money and calls into question the future role of monetary stability institutions in the digital age. Digitalization is perceived as an improvement in welfare only when fiat money institutions become fragile. The efficiency and credibility of central banks are not a bonus to confidence in CBDC. This is a challenge for the institutional design of the future digital-based monetary order.

show abstract

mentioning

confidence: 64%

Section: Resultsmentioning

confidence: 99%

Confidence in digital money: Are central banks more trusted than age is matter?

Козюк

2021

Investment Management and Financial Innovations

View full text Add to dashboard Cite

show abstract

“…Trading and dealing with digital currency are fraught with a lot of dangers, so it is necessary to know the components and data of the digital currency and how to deal with it so that we can make simulations to avoid the risk arising from dealing with it. Items of digital currency can be classified into three main categories: Bitcoin feeding, transaction, and return [29]. With Bitcoin being the basis of the currency and due to the technological development, it attracted attention and became popular in investing.…”

Section: Feature Extractionmentioning

confidence: 99%

Cryptocurrency Financial Risk Analysis Based on Deep Machine Learning

Chen

2022

Complexity

View full text Add to dashboard Cite

Digital currency is considered a form of currency which is used in the digital world such as digital forms or electronic devices. Several terms are synonyms for digital currency like digital money, electronic money, and cyber cash. Accurate prediction of the digital currency is an urgent necessity due to its impacts on the economic community. The electronic economy is very dangerous and must be approached with great caution, so as to avoid or minimize the risks that occur in such cases. Deep neural network (DNN) algorithm was improved to predict the Bitcoin price and then achieve the main goal of reducing financial risks to proceed with electronic business, and good estimation was achieved by using informative data such as transactions and currency return. The proposed method extracted features of related Bitcoin and used the informative ones. Transaction plan considered building nodes in terms of network. Development of deep learning algorithms opens the horizons for the development of electronic businesses that use digital currency. The proposed method achieved worthy results in terms of accuracy (53.4%) and correct prediction (MSE 1.02) and offers the prospect of other research in this area.

show abstract

“…For one thing, there is no research on household acceptance. Kiff et al (2020) describe an implementation process for CBDCs where the first step is to identify the needs and problems that a retail CBDC would address. The marketing side-asking what people want-is missing in these papers, even when it is expected, like in the three steps suggested by Mancini-Griffoli et al (2018).…”

Section: Introductionmentioning

confidence: 99%

Household acceptance of central bank digital currency: the role of institutional trust

Søilen

Benhayoun

2021

IJBM

View full text Add to dashboard Cite

PurposeThe authors investigate household acceptance of central bank digital currencies (CBDCs) by drawing on the unified theory of acceptance and use of technology and institutional trust theory.Design/methodology/approachThe authors build a research model including six hypotheses and quantitatively analyze it using partial least squares structural equation modeling (PLS-SEM) and importance–performance map analysis (IPMA) based on 282 answers to a survey questionnaire.FindingsThe continuous adoption of CBDCs by households is highly probable and is fostered by its expected high performance, the social recommendations and the existence of facilitating conditions. Nevertheless, institutions' efforts to propose a flexible and understandable currency can benefit its adoption only if these institutions also strive to build households' trust in the currency's system.Originality/valueThe authors provide a full review of the emerging literature on CBDCs and suggest that digital currency offerings can be divided into centralized, semi-centralized and de-centralized control in a meaningful taxonomy. The authors also complement extant studies on CBDCs that mostly apprehend its operational challenges by focusing on the customer side and provide implications to the launching of CBDCs by uncovering the customer-specific determinants of their adoption.

show abstract

A Survey of Research on Retail Central Bank Digital Currency

Cited by 44 publications

References 0 publications

Confidence in digital money: Are central banks more trusted than age is matter?

Confidence in digital money: Are central banks more trusted than age is matter?

Cryptocurrency Financial Risk Analysis Based on Deep Machine Learning

Household acceptance of central bank digital currency: the role of institutional trust

Contact Info

Product

Resources

About