The Influence Pathways and Impacts of Retail and Wholesale Central Bank Digital Currencies on Financial Stability

DOI

10.2991/978-94-6463-572-0_16How to use a DOI?

Keywords

CBDC; DLT; financial regulation; monetary policy; financial stability

Abstract

In the face of global economic downturn risks and post-pandemic impacts, the effectiveness of continuous loose monetary policies by various governments has been diminishing. To prevent the potential collapse of the financial system due to prolonged negative interest rates, countries have accelerated the research and implementation of central bank digital currencies (CBDCs). The emergence of CBDC could take direct or indirect impacts on the financial system, including bank disintermediation, negative interest rate policies, legal systems, technological development including block-chain technology, etc. This article analyzes along four paths to prove how retail CBDC and wholesale CBDC affect financial stability: banking industry, monetary policy, payment systems, and financial regulation.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Yue Li
PY  - 2024
DA  - 2024/11/19
TI  - The Influence Pathways and Impacts of Retail and Wholesale Central Bank Digital Currencies on Financial Stability
BT  - Proceedings of the 3rd International Conference on Financial Innovation, FinTech and Information Technology (FFIT 2024)
PB  - Atlantis Press
SP  - 145
EP  - 154
SN  - 2352-538X
UR  - https://doi.org/10.2991/978-94-6463-572-0_16
DO  - 10.2991/978-94-6463-572-0_16
ID  - Li2024
ER  -