Central Bank Digital Currencies (CBDCs) are categorized into two types: wholesale and retail. Wholesale CBDCs target commercial banks and financial institutions, focusing on efficiency and security in high-value transactions. Retail CBDCs, aimed at the public, can promote financial inclusion and modernize payment systems. Blockchain technology enhances CBDC functionality by enabling real-time transactions, eliminating counterparty risk, and improving liquidity management. Different CBDC models, including direct, indirect, and hybrid systems, are being explored globally to meet various economic and policy needs.

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