CBDC is a digital or virtual currency, however, it is not comparable to any private virtual currencies like cryptocurrency.
This is because private virtual currencies do not represent any person’s debt or liabilities as no issuer exists.
Also, the government has announced that private cryptocurrencies can never be a legal tender. The RBI has been strongly opposing private cryptocurrencies as they could have implications on national security and financial stability. However, this is not the case with digital currency and hence they are different.
