https://doi.org/10.36719/2706-6185/45/186-190
Toghrul Mustafayev
Friedrikh Shiller University Yena
https://orcid.org/0009-0001-8380-2310
togrulmustafayev8@gmail.com
CBDC’S Impact on Modern Payment Systems and the Adaptation
of the Banking Sector
Abstract
Central Bank Digital Currencies (CBDCs) represent a crucial innovation in modern financial systems, with the potential to reshape the structure of commercial banking. This paper examines the impact of CBDCs on contemporary payment systems and explores how the banking sector is adapting to this emerging financial technology. The implementation of CBDCs could alter the role of commercial banks in credit and deposit markets, as these digital currencies influence the traditional financial intermediation process. The main advantages of CBDCs include enhancing cross-border transactions, reducing transaction costs, and optimizing liquidity management within financial markets. However, large-scale adoption of CBDCs necessitates updates in regulatory frameworks and accelerates the technological transformation of the banking industry. The findings of this study indicate that commercial banks must develop new business models and innovative approaches to remain competitive in the digital currency landscape
Keywords: CBDC, payment systems, commercial banks, digital currencies