Central Bank Digital Currencies for Beginners – A Quick Guide into CBDCs

Report, published: December 2020

Central Bank Digital Currencies for Beginners is a quick reference guide into CBDCs that aims to inform readers about what CBDCs are, the innovation they promise, and the implications and risks they pose

The international debate on Central Bank Digital Currency (CBDC) is gaining momentum. The world has been sieged by CBDC initiatives that aim to digitalise payments, support the fight against COVID-19 (to avoid spreading virus due to the usage of cash and help people in lockdowns or working remotely carry on with their life), encourage financial inclusion, improve cross border payments (via stablecoins such as Facebook’s initiative Libra – rebranded to Diem), support fiscal transfer, etc. What is firing up discussions around this topic and why is it important today?

To help our readers better understand what Central Bank Digital Currencies are and encourage them to engage in discussions around the possibility and the potential these initiatives hold, but also the risks and implications, The Paypers asked experts from central banks, cards schemes, consultancies, and technology companies to share their know-how. Their valuable expertise has been gathered in Central Bank Digital Currencies for Beginners – A Quick Guide into CBDCs, which is a collection of educational articles and interviews on CBDC written between July – November 2020.

Some of the key aspects stressed by the experts featured in our ebook include:

  • What are CBDCs and why they might be useful for end consumers and businesses, locally and across the globe - Harro Boven, the Dutch Central Bank;

  • How can technology support the innovation CBDC bring to the payments landscape - Lars Arvidsson, eCurrency;

  • Why should CBDCs operate with existing payment rails - Raj Dhamodharan, Mastercard;

  • What CBDC projects have captured the media’s attention? Do they stand a chance - Mirela Ciobanu, The Paypers;

  • Will a ‘digital dollar’ enjoy the same popularity as its current physical version - Douwe Lycklama, Innopay;

  • Can China’s digital currency supplant a digital dollar as a global reserve currency - David Birch, Consult Hyperion;

  • Could Facebook’s Libra solve the digital identity crises and KYC processes in some parts of the world be replaced by Known- by-Zuck (KYZ) - David Birch, Consult Hyperion;

  • Is CDBC the key to unlocking financial inclusion - Gonzalo Santamaria and Jens Seidl, Currency Research;

  • How secure and private CBDCs are - Barry Topf, Sögur.

All in all, CBDCs are an exciting and innovative perspective to consider when talking about the future of money/transacting. Because it has a great impact on financial systems and monetary policies, the topic of CBDC is constantly debated and we expect more proof of concepts/trials to happen in the coming months and more articles and reports coming out.

We would like to offer our appreciation to all our thought leaders and participating organisations that contributed and enriched our ebook with their valuable insights and invite you the reader to join the conversation.

We greatly appreciate your feedback!

Once you have had a chance to download and start using our ebook, we would be more than happy to receive your opinions and suggestions. Please feel free to drop us a line at any time at


Research Type Overview
Published 09 Dec 2020
Pages 33
File Type PDF
Size 1399kb
Geographic Scope    World
Editions Cryptocurrencies