MC25. Which of the following is a potential disadvantage of CBDC?
A. Increased financial inclusion
B. Increased transparency and accountability
C. Reduced control over monetary policy
D. Reduced security and privacy
Answer:C
MC25. Which of the following is a potential disadvantage of CBDC?
A. Increased financial inclusion B. Increased transparency and accountability C. Reduced control over monetary policy D. Reduced security and privacy
Explanation: One potential disadvantage of CBDC is that it could reduce the control that central banks have over monetary policy, as they would not be able to control the money supply in the same way they can with physical currency.