Cryptocurrencies work on a decentralized
The advantages of this digital euro will be being able to automate and personalize payments in a more precise way , for example, employees will be able to choose how often they want to receive their salary and obtain it in their wallets, due to this token. The pilot is expected to last up to months , with reports produced to allow the central bank to decide whether to authorize an official launch. What is a CDBC or Digital Currency issued by a central bank A CBDC (Central Bank Digital Currency) is the digitization of FIAT money or government money that we use on a daily basis.The issuer of this digital currency remains a central ID Number List bank and monetary policy will continue to be subject to the same macroeconomic variables as FIAT money. This means that CBDCs are a digital representation of traditional, tangible money. Transactions will continue to be centralized by governments and they will ultimately control the stock/money flow ratio (this dynamic determines inflation/currency devaluation). Difference between digital euro or CDBC with cryptocurrencies We should not confuse it with cryptocurrencies.
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Although they are also digital assets freely exchangeable between individuals and widely accessible (having an internet connection is almost the only requirement), they are not regulated by any central institution. network between individuals (PP or Peer to Peer) and the governance or control also resides with the users. MASTER IN BLOCKCHAIN AND FINTECH Learn the basics of these new payment and financing methods, to apply them within any business I want to find out! In the following diagram we can see some of the different variables that represent the characteristics of the different forms of money.
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