CBDC

CBDC is new electronic form of currency issued by Central Bank, separate from existing payment settlement deposit or legal reserve within Central Bank.

Depending on the user, CBDC can be categorized into retail CBDC(used by all economic participants) or wholesale CBDC (used by financial institutions). Furthermore, it can be categorized into single ledger(same as current method of bank account) or distributed ledger.

Advanced countries with efficient payment settlement system considers wholesale CBDC, and developing countries needing improved financial engagement consider retail CBDC.