Tokenized Money Glossary — Stablecoin Beat

Central Bank Digital Currency

A central bank digital currency (CBDC) is a digital form of sovereign currency issued directly by a central bank.

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Central Bank Money

Central bank money is a form of money issued directly by a country's central bank.

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Commercial Bank Money

Commercial bank money refers to deposits created and held within the banking system.

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Digital Bearer Instrument

A digital bearer instrument is a tokenized asset whose ownership is determined by possession of cryptographic credentials.

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Digital Currency

Digital currency refers broadly to monetary value represented and transferred in electronic form.

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Digital Settlement Asset

A digital settlement asset is a tokenized form of value used to settle financial transactions on digital networks.

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Monetary Liability

A monetary liability is a financial obligation issued by an entity representing a claim to monetary value.

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Programmable Money

Programmable money refers to digital currency capable of executing automated conditions through software code.

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Programmable Settlement

Programmable settlement refers to automated financial settlement processes executed through smart contracts.

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Retail CBDC

A retail CBDC is a central bank digital currency designed for use by households and businesses in everyday payments.

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Synthetic CBDC

Synthetic CBDC refers to privately issued digital money backed by reserves held at a central bank.

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Tokenized Deposit

A tokenized deposit is a digital representation of a commercial bank deposit issued on a distributed ledger.

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Tokenized Financial Asset

A tokenized financial asset is a traditional financial instrument represented as a digital token on a distributed ledger.

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Tokenized Money

Tokenized money refers to digital representations of monetary value issued and transferred on distributed ledger systems.

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Wholesale CBDC

A wholesale CBDC is a digital form of central bank money intended for use by financial institutions.

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