In light of continued innovation in money and payments, many central banks are exploring the creation of a central bank digital currency (CBDC), a new form of central bank money which supplements existing central bank reserve account balances and physical currency. CBDCs could exist in various forms depending on a central bank’s objectives, including a general-purpose CBDC that can be made available to the public for retail, e-commerce, and person to person payments. Originally published on February 3, 2022
