The CBDC wave covers the globe, has spread to 134 countries

The CBDC (Central Bank Digital Currency) story is no longer a story of a few countries, but by 2024 it has truly become a global wave. Many countries are no longer in the research stage, but are increasingly deploying the use of CBDC.

Here are BeInCrypto's observations and assessments of the CBDC wave through the latest published data.

Also Read: North Carolina Governor Vetoes Bill to Block Federal CBDC

CBDC is becoming an inevitable trend, each country or alliance will have its own CBDC

The Atlantic Council’s latest 2024 report says that 134 countries representing 98% of global GDP are currently exploring CBDCs, up from just 35 in May 2020. To date, 66 countries have moved beyond the research phase and into the development, pilot, and launch phases.

Classification of the status of CBDC research/development/deployment globally. Source: atlanticcouncil

It can be seen that CBDC is becoming an inevitable trend, the possibility of moving towards the prospect that each country/union will have its own CBDC. CBDC is essentially not the same as cryptocurrencies that use public blockchain technology like Bitcoin, but it is legal tender in digital form. CBDC can also apply blockchain technology but is issued by the Central Bank. And depending on the purpose, CBDC has many different variations, with different properties.

CBDC Variants. Source: Santiago Fernández de Lis, Olga Gouveia (2018)

According to the report, Vietnam is among the few 21 countries that are “Inactive” in exploring CBDC. According to BeInCrypto’s research, Vietnam is still in the process of researching and perfecting the legal framework for crypto assets, continuing to observe and learn from the experiences of countries that are applying CBDC.

Notable Highlights of the Global CBDC Wave

The latest report from the Atlantic Council also highlights some notable highlights in the CBDC wave as follows.

All G20 countries currently have CBDC exposure. Of these, 19 are in the advanced stage of CBDC exposure (launch, pilot, development). And 13 countries are already in the pilot stage, including Brazil, Japan, India, Australia, Russia, and Türkiye.

Total circulating supply of CBCD eNaira.

The three countries that have fully implemented CBDCs are Nigeria, Jamaica, and the Bahamas. Nigeria and the Bahamas have seen a significant increase in CBDC issuance. All three countries are focused on expanding the use of retail CBDCs domestically. The chart above shows the increase in circulating supply of eNaira – an electronic version of the Naira banknote issued by the Central Bank of Nigeria (CBN) in partnership with Barbados-based fintech company Bitt.

e-CNY volume . Source: ACGeoEcon

The report highlights the growing volume of e-CNY – China’s CBDC. Specifically, by June 2024, e-CNY transactions reached 7 trillion yuan ($986 billion) in 17 provinces and are being used in many areas such as education, healthcare and tourism in China.

Also Read: South Korea to test CBDC in 2024

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