How Might a Central Bank Digital Currency (CBDC) Affect Centralized Stablecoins? ▴ Learn

How Might a Central Bank Digital Currency (CBDC) Affect Centralized Stablecoins?

A CBDC, a digital version of a country's fiat currency issued and backed by the central bank, could significantly reduce the demand for centralized, privately issued stablecoins. A CBDC would offer a risk-free alternative for digital transactions, potentially making the commercial backing and regulatory risks of centralized stablecoins less attractive to users and institutions.

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