Blog Why is CBDC better with blockchain?
Why is CBDC better with blockchain?
Central bank digital currencies (CBDCs), backed by blockchain technology — also known as distributed ledger technology (DLT) — offer many advantages over legacy payment systems; allowing increased security, speed, cost, and flexibility when compared to traditional financial infrastructure.
In summary, blockchain technology offers numerous advantages over legacy payment systems for a CBDC payment system. These advantages will allow central banks to better manage their monetary systems, transmitting monetary policy in a more precise and direct manner, decrease cost for consumers, and increase efficiencies in economies that will allow for greater economic growth, innovation, and inclusion.