Central Bank Digital Currency Pilots Expand Across Four Continents

With fourteen active programs, CBDCs are moving from theory to practice — but fundamental questions remain unresolved.

By Economy Desk · March 12, 2026

Abstract representation of digital currency and financial technology

Photo by Shubham Dhage on Unsplash

At least fourteen central banks are now running active pilot programs for digital currencies, with several approaching decisions on full-scale deployment. The implications for commercial banking, monetary policy, and financial privacy remain deeply contested.

The most advanced programs include China's e-CNY, which has processed transactions worth over 1.8 trillion yuan in pilot regions, and Nigeria's eNaira. The European Central Bank's digital euro project has completed its investigation phase and moved into preparation for potential issuance.

The Privacy Question

The most contentious issue surrounding CBDCs is financial privacy. Unlike physical cash, digital currencies create transaction records visible to the issuing authority. Critics warn that CBDCs could enable unprecedented financial surveillance. Proponents counter that privacy-preserving designs are technically feasible.

The Commercial Banking Question

Perhaps the most significant structural question is what happens to commercial bank deposits in a world with retail CBDCs. A digital bank run could happen at the speed of a smartphone tap, potentially destabilizing the banking system far faster than traditional deposit flight.

Multiple Perspectives

The Herald presents multiple viewpoints on significant stories. These perspectives reflect a range of positions, not the publication's own stance.

The Modernization Case

Central bankers argue that CBDCs are a natural evolution of money in a digital economy. As cash usage declines, central banks risk losing their monetary sovereignty to private digital payment systems.

BIS — Central Bank Digital Currencies ↗

The Civil Liberties Concern

Privacy organizations warn that CBDCs represent a fundamental shift in the relationship between citizens and the state. Physical cash enables anonymous transactions — a feature, not a bug, of financial freedom.

Electronic Frontier Foundation — CBDCs and Privacy ↗

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