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CBDC may have the following features:Group of answer choicesissued by the central bankcan be wholesale or retailAll available answerscan be transferred peer to peer or through an intermediar

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CBDC may have the following features:Group of answer choicesissued by the central bankcan be wholesale or retailAll available answerscan be transferred peer to peer or through an intermediar

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Solution

The features of a Central Bank Digital Currency (CBDC) can include:

  1. Issued by the Central Bank: A CBDC is a digital form of fiat money, which is a currency established as money by government regulation. This means it is issued and regulated by the central bank of a country.

  2. Can be Wholesale or Retail: A wholesale CBDC would be accessible only to financial institutions that hold reserves at a central bank, while a retail CBDC would be accessible to the general public.

  3. Transferability: CBDCs can be transferred between entities in a peer-to-peer manner, without the need for an intermediary. However, they can also be transferred through an intermediary if necessary.

These features make CBDCs a potential new tool for monetary policy and financial stability.

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Similar Questions

According to one definition of CBDC, it provides:Group of answer choiceslower functionality.greater access to money.an interest on savings.all available answers.

Potential benefits of CBDC may include:Group of answer choiceslower cost of issuance than paper moneyincrease transaction speedmore accessible than traditional banksmakes money cheaper

Unlike fiat currency, CBDC transactions are likely to be:Select one:a. Subject to higher transaction feesb. More prone to counterfeitingc. Easier to physically transport across bordersd. Recorded on a private or permissioned blockchain ledger

An account based CBDC requires:Group of answer choicesverifying that the payer has authority to use the account.verifying that the tokens are legitimate.verifying that that the bank account has sufficient funds.verifying that the payee has authority to use the account.

The following type of CBCD requires the verification of the payment object:Group of answer choicesAll available answersAn account based CBDCA payment based CBDCA token based CBDC

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