Current Development and Future Outlook of China CBDC (e-CNY): A Literature Review
DOI:
https://doi.org/10.61173/vzmkzr88Keywords:
CBDC, RMB globalization, e-CNY, digital currencyAbstract
The great success of Bitcoin has drawn the attention of the world to the field of digital currency. Stablecoins and CBDC have come out right after cryptocurrencies. This study focuses on analyzing CBDC, especially China CBDC (e-CNY), elaborating and comprehending arguments from several outstanding essays in this field. In this study, the author summarizes the development history of e-CNY, concludes the competitive advantages of e-CNY over other types of payment methods, points out the potential shortcomings of e-CNY, and implements possible solutions. In order to provide reliable suggestions and recommendations, the author has compared e-CNY with several existing CBDC from different countries and regions in the world, including CBDC from Singapore, Canada, and England. In the short run, China CBDC can enhance finance monitoring and reduce M0 supply. In the long run, it could stimulate the internationalization of the RMB and boost the evolution of the global monetary system.
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