Editing Digital currency (section)

==== Central bank digital currency ====
A [[central bank digital currency]] (CBDC) is a form of universally accessible digital money in a nation and holds the same value as the country's paper currency. Like a [[cryptocurrency]], a CBCD is held in the form of tokens. CBDCs are different from regular digital cash forms like in online bank accounts because CBDCs are established through the central bank within a country, with liabilities held by one's government, rather than from a commercial bank.<ref>{{Cite book |last1=Bordo |first1=Michael D |title=Central Bank Digital Currency and the Future of Monetary Policy |last2=Levin |first2=Andrew T |publisher=National Bureau of Economic Research |year=2017}}</ref> Approximately nine countries have already{{When|date=June 2023}} established a CBDC, with interest in the system increasing highly throughout the world. In these nations, CBDCs have been used as a form of exchange and a way for governments to try to prevent risks from occurring within their [[financial system]]s.<ref>{{Cite web |title=Countries Developing a Central Bank Digital Currency (CBDC) |url=https://www.investopedia.com/countries-developing-central-bank-digital-currency-cbdc-5221005 |access-date=2022-12-09 |website=Investopedia |language=en}}</ref>

A major problem with central bank digital currencies is deciding whether the currency should be easily trackable. If it's traceable, the government has more control than it currently does. Additionally, there's a technical aspect to consider: whether CBDCs should be based on tokens or accounts and how much anonymity users should have.<ref>{{Cite book |url=http://dx.doi.org/10.1108/ijbm |title=International Journal of Bank Marketing |publisher=Emerald|doi=10.1108/ijbm }}</ref>