- As of the latest data, 130 countries, representing 98% of global GDP, are in various stages of exploring Central Bank Digital Currencies (CBDCs), a significant rise from 35 countries in May 2020.
- Among the G20 nations, 19 have reached an advanced stage in CBDC development, with nine countries already pilot testing their digital currencies.
The Tipping Point of CBDCs: From Obscurity to Global Phenomenon
Blockchain technology, the revolutionary backbone of cryptocurrencies like Bitcoin and Ethereum, is now fueling a global fascination with Central Bank Digital Currencies (CBDCs). A recent report from the Atlantic Council indicates that a substantial majority of nations are actively researching, developing, or piloting their own digital versions of sovereign currencies. In total, 130 countries, which cumulatively account for an astounding 98% of the world’s GDP, are currently navigating the CBDC landscape.
The Pace of Progress: G20 Leading the Charge
Among these, the G20 countries appear to be the torchbearers, with 19 nations reaching an advanced stage and nine already pilot-testing their digital currencies. Countries such as Australia, Thailand, and Russia have expressed intentions to continue their pilot testing phase, while emerging economies like India and Brazil aim for CBDC launches by 2024. Brazil has notably selected significant global players like Visa and Microsoft to participate in its pilot program alongside formidable local entities like Nubank, Bradesco, Itaú Unibanco, and the state-run Banco do Brasil.
A Diverse Ecosystem: Stages, Pilots, and Pullbacks
The landscape is diverse, with 78 countries in the research and development phase, 21 countries in pilot testing, and 11 countries having already launched their digital currencies. Interestingly, 16 countries have shelved their plans, remaining inactive, while two have reversed their CBDC initiatives. The status quo in the United States remains comparatively stagnant, with minimal progress in retail CBDCs, thanks in part to political resistance. Vivek Ramaswamy, a presidential candidate for the 2024 U.S. elections, has even labeled CBDCs as a “grave threat” to American liberty.
>> Buy XRP quickly and securely with PayPal, credit card or bank transfer at eToro with low fees and deposit protection. Get started with XRP now. Visit Website <<
While the U.S. takes a cautionary stance, corporations like Visa are extending their CBDC expertise to other nations. A recent example involves Visa sharing its CBDC-related insights with the Central Bank of Azerbaijan, fostering an ‘open and constructive debate’ aimed at shaping ‘appropriate formats’ of engagement and cooperation.
The data reflects an irreversible trend, demonstrating that CBDCs are no longer a fringe concept but a significant focus for monetary policy and financial infrastructure globally. Countries are recognizing the transformative potential of blockchain technology in reshaping money, and they are acting on this understanding at an unprecedented scale.
Best Crypto Exchange for Everyone:
- Invest in Ripple (XRP) and 70+ cryptocurrencies and 3,000 other assets.
- 0% commission on stocks – buy in bulk or just a fraction from as little as $10.
- Copy top-performing traders in real time, automatically.
- Regulated by financial authorities including FAC and FINRA.
2.8 Million Users
