The latest Bank for International Settlements (BIS) survey reveals that 94% of central banks are exploring central bank digital currencies (CBDCs). There has been a notable increase in wholesale CBDC experiments, especially in advanced economies. Central banks are examining various factors for retail CBDCs, including holding limits and offline functionality.
The Bank for International Settlements (BIS) released a report on June 14, titled “Embracing diversity, advancing together – results of the 2023 BIS survey on central bank digital currencies and crypto.” The survey gathered insights from 86 central banks regarding their involvement in CBDC projects and cryptocurrency initiatives.
According to the report:
Ninety-four percent of surveyed central banks are exploring a central bank digital currency (CBDC). The survey suggests that central banks are proceeding at their own speed, taking diverse approaches and considering different design features.
The report highlights that there has been a significant increase in experiments and pilot projects involving wholesale CBDCs, particularly in advanced economies, with some emerging markets and developing economies also intensifying their efforts in this area.
“Overall, the likelihood that central banks will issue a wholesale CBDC within the next six years now exceeds the likelihood that they will issue a retail CBDC,” the report notes.
Central banks have also enhanced their engagement with stakeholders to inform CBDC design, with many still undecided on specific features, the BIS report details. Interoperability and programmability are frequently considered for wholesale CBDCs, while retail CBDCs are being evaluated for holding limits, interoperability, offline capabilities, and zero remuneration.