Digital Currency

Digital currency is a type of currency that has no physical form and only exists in digital form. Digital currencies include virtual money and cryptocurrency. This digital money may be used as traditional money to buy and sell goods, but with the allowance of instant transactions and borderless transfer-of-ownership. Digital money can be restricted to a certain community or be fully free for anyone to use. Digital money can also be decentralized or have a central authority over an emission process, can be backed by other currency or liquid asset, or work without any backing. Investing in digital currency has become very popular after the explosion of cryptocurrencies due to their volatility, which makes them a great speculation tool. Although digital currencies are useful and progressive, they are not yet widespread and most banks do not accept them.

 

Central Bank Digital Currency

Central bank digital currency (CBDC, also called "Digital Fiat Currency" or "digital base money") is the digital form of fiat money which is a currency established as money by government regulation or law. 

The central bank of Sweden is however the closest to consider its implementation.

Digital currency

 

Digital currency (digital money or electronic money or electronic currency) is a type of currency available only in digital form, not in physical (such as banknotes and coins). It exhibits properties similar to physical currencies, but allows for instantaneous transactions and borderless transfer-of-ownership. Examples include virtual currencies and cryptocurrencies or even central bank issued "digital base money". Like traditional money, these currencies may be used to buy physical goods and services, but may also be restricted to certain communities such as for use inside an online game or social network.
Digital currency is a money balance recorded electronically on a stored-value card or other device. Another form of electronic money is network money, allowing the transfer of value on computer networks, particularly the Internet. Electronic money is also a claim on a private bank or other financial institution such as bank deposits.