Central bank digital currencies: An assessment of their adoption in Latin America
Date of Publication
1-1-2023 12:00 AM
Security Theme
Cybersecurity
Keywords
Digital Currencies, State Banking, Crime, Regulation, Cybersecurity
Description
This document focuses on identifying factors affecting the implementation of a Central Bank digital currency (CBDC) in Latin American countries. Main conclusions apply to developing countries in general. The adoption of a CBDC (non-universal) for the interbank and wholesale payment system would lead to a relatively minor level of disruption in the economy. In this case, although Latin America could benefit more than developed countries from the implementation of a CBDC, since the gains in efficiency are potentially greater, the implementation costs is an important issue. The implementation of a universal and unidentified CBDC offers a similar alternative to cash, which is widely used in Latin America compared to developed countries.
Central bank digital currencies: An assessment of their adoption in Latin America
This document focuses on identifying factors affecting the implementation of a Central Bank digital currency (CBDC) in Latin American countries. Main conclusions apply to developing countries in general. The adoption of a CBDC (non-universal) for the interbank and wholesale payment system would lead to a relatively minor level of disruption in the economy. In this case, although Latin America could benefit more than developed countries from the implementation of a CBDC, since the gains in efficiency are potentially greater, the implementation costs is an important issue. The implementation of a universal and unidentified CBDC offers a similar alternative to cash, which is widely used in Latin America compared to developed countries.
