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So far, Central Bank Digital Currencies have failed

Dowd, Kevin

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This article examines the experiences of Central Bank Digital Currencies (CBDCs) implemented so far. To date, CBDCs have been implemented in two countries (Finland and Ecuador) where they have failed and been abandoned. They have also been implemented in three Caribbean cases and in China and Nigeria; these five cases are ongoing. These experiences can be summarised as a series of abandoned experiments, embarrassing flops and monumental exercises in policymaker hubris, one of which has already produced a major disaster. In each case where data exist to assess the situation, the public demand for CBDCs has been extremely low. Experience suggests that CBDCs do not offer tangible benefits which existing alternatives cannot already deliver. One might speculate that future CBDCs will fail for similar reasons.


Dowd, K. (2024). So far, Central Bank Digital Currencies have failed. Economic Affairs, 44(1), 71-94.

Journal Article Type Article
Acceptance Date Jan 9, 2024
Online Publication Date Feb 28, 2024
Publication Date 2024-02
Deposit Date Jan 16, 2024
Publicly Available Date Feb 28, 2024
Journal Economic Affairs
Print ISSN 0265-0665
Publisher Wiley
Peer Reviewed Peer Reviewed
Volume 44
Issue 1
Pages 71-94
Public URL


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