ABSTRACT
This paper examines the impact of national culture on the decision of countries to adopt a central bank digital currency (CBDC). Using Hofstede’s cultural framework (i.e. Power Distance, Individualism, Masculinity, Uncertainty Avoidance and Long-term Orientation) to measure different cultural values, we find that countries with more power distance, masculinity and long-term orientation cultures are more eager to adopt a CBDC. By contrast, countries with a cultural value leaning towards uncertainty avoidance are less involved in the adoption of a CBDC. These results hold more for retail CBDC than for wholesale CBDC.
Disclosure statement
No potential conflict of interest was reported by the authors.
Notes
1 CBDC Tracker can be assessed at: https://cbdctracker.org/