AN EMPIRICAL ANALYSIS OF POTENTIAL CENTRAL BANK DIGITAL CURRENCY ADOPTION PROCEDURE BY INDIAN GOVERNMENT AND ITS IMPLICATIONS

Abstract

The following paper discusses the introduction to Central Bank Digital Currency (CBDC) and how the adoption of such a measure will result in a developing economy like India looking at past references. The paper aims to reach new measures of adoption procedure and why it becomes essential to bring out such a concept at an early age. Various documents and research on technologies have proved the significance of virtual currencies. The social media forums which are abuzz with such investment options as provided by cryptocurrency market leads to a talk on potential regulation of the market for fiscal benefits. The committee developing such a digital currency has many options at hand, like hash graph or blockchain, POW or POS framework, adopting ABFT or not and others. The paper concludes determining the best measures a committee can adopt to frame CBDCs, discussing the pros and cons while timing the launch based on certain indices available yet lesser known in general.