Key Takeaways:
- The Bank of England is reconsidering its digital pound plans, with Governor Bailey favoring private sector innovations over a CBDC.
- Public skepticism and privacy concerns have significantly slowed the UK’s CBDC progress, with over 50,000 mostly critical consultation responses.
- Global CBDC development remains fragmented, with few nations having launched and others, including the US, facing political and regulatory hurdles.
The Bank of England (BoE) is rethinking its push for a central bank digital currency (CBDC), with Governor Andrew Bailey favoring private sector innovations over a state-backed digital pound.
Bailey told Parliament he would need “a lot of convincing” to proceed if commercial solutions prove effective, signaling a major shift from the BoE’s earlier support for a digital currency.
‼️The beginning of the end for a UK CBDC?
— Big Brother Watch (@BigBrotherWatch) July 22, 2025
Harriett Baldwin MP: "You spent millions developing this so far…are you likely to make a go or no-go decision on this #CBDC for the UK?"
Bank of England Governor: "I question why we need to introduce a new form of money…"
It's time… pic.twitter.com/NyywPDabU6
The project, still in development, trails behind global peers and faces significant public opposition.
A consultation received over 50,000 responses – most critical – citing privacy concerns and risks like accelerated bank runs.
Some fear foreign or Big Tech-issued stablecoins could threaten the UK’s monetary sovereignty.
In the United States, CBDC efforts have stalled due to legislative resistance.
The House passed the Anti-CBDC Surveillance State Act, barring the Federal Reserve from issuing a digital dollar without congressional approval.
Critics, like Rep. Marjorie Taylor Greene, warn that stablecoin laws could stealthily enable a government-issued CBDC.
So far, only the Bahamas, Jamaica, and Nigeria have officially launched digital currencies, while other nations remain in varying stages of development, according to the Atlantic Council.
About The Author
Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.
His extensive experience and features in top-tier publications like Forbes and CNN underscore his deep understanding of the crypto world and its future potential.
Check Adam out on: