CBDC and Monetary Sovereignty
Antonio Diez de los Rı́os, Yu Zhu · Staff Analytical Notes · 2020
In an increasingly digitalized world, issuers of private digital currency can weaken central banks’ ability to stabilize the economy. By continuing to make central bank money attractive as a payment instrument in a digital world, a central bank digital currency (CDBC) could help to maintain a country’s monetary sovereignty.