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Here are some of the possible use case for a CBDC

CBDCs are financial instruments that help the government achieve its public policy goals by offering a secure and dependable method of making payments. If they are adequately managed and the dangers associated with them are addressed, they may help to promote efficient, inclusive, and creative payments. CBDCs are found in a variety of configurations across a wide range of geographic locations.

1. An example of CBDC money would be social benefits and other targeted payments made in a nation that are "fit-for-purpose." In order to facilitate direct benefit transfer for LPG subsidies, CBDCs may be pre-programmed and issued. Other organizations may utilize programmable payments to reimburse their workers' travel and lodging costs.

2. CBDCs have the potential to be utilized for quicker cross-border money transfers. A collaborative effort among the world's leading economies may aid in the development of the infrastructure and procedures required for CBDC transmission and conversion on an international scale. CBDCs must be able to communicate with one another across jurisdictional boundaries if they are to function properly.

3. CBDCs may also be utilized for offline payments and rapid financing to small and medium-sized enterprises (SMEs). End users would be required to store their retail CBDCs in electronic wallets or accounts in order to utilize them. By lowering the risk associated with the clearing and settlement of retail payments, they are able to reduce counterparty risk.

 

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