Part 7/10:
Efficiency and Security: CBDCs can streamline payments, making transactions faster, cheaper, and more secure.
Financial Inclusion: Even those without bank accounts can access digital currency, potentially bridging gaps in financial access.
Reduced Risks: CBDCs could decrease the likelihood of bank runs or collapse, as they are directly backed by the government.
Disadvantages
Loss of Privacy: Since all transactions are recorded and accessible to central banks, users face diminished privacy, raising concerns about surveillance and data security.
Control Concerns: Full government oversight means that authorities could potentially influence or restrict transactions, leading to fears over censorship or misuse.