MC32. How do CBDCs differ from traditional bank deposits?
A. CBDCs are backed by the government, while traditional bank deposits are backed by the bank.
B. CBDCs have lower interest rates than traditional bank deposits.
C. CBDCs are more volatile than traditional bank deposits.
D. CBDCs are subject to greater regulatory oversight than traditional bank deposits.
Answer:A
MC32. How do CBDCs differ from traditional bank deposits?
A. CBDCs are backed by the government, while traditional bank deposits are backed by the bank. B. CBDCs have lower interest rates than traditional bank deposits. C. CBDCs are more volatile than traditional bank deposits. D. CBDCs are subject to greater regulatory oversight than traditional bank deposits.
Explanation: CBDCs are backed by the central bank and the government, while traditional bank deposits are backed by the bank that holds them. This means that CBDCs are considered to be safer and more secure than traditional bank deposits.