Ruhr Economic Papers

Ruhr Economic Papers #816

From Cash to Central Bank Digital Currencies and Cryptocurrencies: A Balancing Act between Modernity and Monetary Stability

by Ansgar Belke and Edoardo Beretta

UDE, 07/2019, 34 S./p., 8 Euro, ISBN 978-3-86788-945-2 DOI: 10.4419/86788945



The paper explores the precarious balance between modernizing monetary systems by means of digital
currencies (either issued by the central bank itself or independently) and safeguarding financial stability
as also ensured by tangible payment (and saving) instruments like paper money. Which aspects of modern payments systems could contribute to improve the way of functioning of today’s globalized economy? And, which might even threaten the above mentioned instable equilibrium? This survey-paper aims, precisely, at giving some preliminary answers to a complex – therefore, ongoing – debate at the scientific as well as the banking and the political level.

JEL-Classification: E4, E5, G21, G23

Keywords: Cash; central banks; cryptocurrencies; digital currencies; monetary systems