Question of the Day: Consider the following statements regard | ECONOMY by VIVEK SINGH

Question of the Day:

Consider the following statements regarding Central Bank Digital Currency (CBDC): (keeping in mind its a general question and exact details may be known only after RBI creates its own CBDC)

(i) It is a fiat currency and legal tender and does not have intrinsic value
(ii) It exists only in digital form
(iii) People holding CBDCs will be reflected as liability on the RBI balance sheet rather than banks
(iv) People will earn interest while holding CBDC
(v) It could lead to instantaneous payment without any processing delays
(vi) It could lead to reduction in lending by banks