Affiliation:
1. Manav Rachna International Institute of Research and Studies, India
2. Amity University, India
3. Sorbonne Business School, France
Abstract
The chapter focuses on the phenomena of digital currencies issued by central banks (CBDC). The approach to the cashless economy, the battle against money laundering and tax evasion, the growing competition of private digital currencies, the enhancement of the monetary policy transmission mechanism, and the technological advancement of the payment sector were identified as important factors contributing to the development of digital currencies by central banks. Availability, anonymity, P2P transfers, interest-bearing features, and other potential restrictions were examined and highlighted as major distinctions between CBDC and private digital currencies and physical currencies. The stability and dependability, safety, speed, and ease of use of the CBDC were highlighted as its primary benefits. The study applied TAM to explore the adoption pattern of digital currency by retail customers through selected banks. The findings explained how different factors are important in determining behavioral intention and CBDC use behavior.