CBDCs
Central Bank Digital Currencies (CBDCs) are digital currencies issued and regulated by a country's central bank. Since they're designed to be digital representations of a national currency, CBDCs are recognized as legal tender.
By Geoffrey Lyons
Published on Jul 30, 2024
Last modified on Feb 26, 2026
Central Bank Digital Currencies (CBDCs) are digital currencies issued and regulated by a country's central bank. Since they're designed to be digital representations of a national currency, CBDCs are recognized as legal tender.
Some central banks use blockchain technology for their CBDCs, while others opt for more centralized technology. But in all cases, CBDCs are not generally considered to be cryptocurrencies. That's because ultimately they're controlled by a central entity (central banks), whereas cryptocurrencies typically run on decentralized infrastructure.
Countries with CBDCs
At the time of writing, only three countries have fully launched CBDCs: Nigeria, The Bahamas, and Jamaica.
This number fluctuates, however, mainly because CBDCs are relatively new and governments are facing teething troubles.For example, just a few months ago the entire - eight countries - had a fully launched CBDC, (“digital cash”), but it was temporarily halted due to technical hiccups.
