Investigating individual privacy within CBDC: A privacy calculus perspective

Abstract

Central Bank Digital Currencies (CBDC) are a digital innovation based upon distributed ledger and smart contract technology. In this paper we examine how potential users of CBDC technology willingly disclose their personal information. The researchers conducted an online quantitative survey which investigates the privacy perceptions of consumers. Using the privacy calculus theory lens, this study looks at the potential benefits of CBDC and how these influence user perceptions towards privacy disclosure. While this research suggests that participants in the study had negative perceptions in relation to the disclosure of personal information, many were willing to offset these concerns if there are significant benefits in the usage of CBDC. Factors such as ease of use, convenience, availability, and credibility were viewed as key benefits in this scenario. Thus, future banking strategies and marketing approaches need to consider these components to foster CBDC adoption.