Key Takeaways
- The Bank of England is rethinking its CBDC plans, citing declining public and political interest.
- Officials are encouraging private-sector solutions instead of pushing ahead with a digital pound.
- Several countries have already paused or canceled CBDC initiatives, mirroring the U.S.’s anti-CBDC pivot.
Just days after U.S. lawmakers advanced a bill opposing the development of a central bank digital currency (CBDC), the Bank of England (BoE) is reportedly stepping back from its digital pound ambitions.
According to people familiar with the matter, BoE has reached out to private-sector players, urging them to explore and accelerate alternative payment solutions.
The goal? Replicate the benefits of a CBDC—without actually building one.
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BoE Hits the Brakes on Digital Pound
While the central bank still wants to keep the door open in case a digital pound becomes necessary, the tone has shifted dramatically from its previous stance.
Until recently, the BoE was full steam ahead, even advancing the project into its design phase.
Now, the bank appears more willing to defer to private innovation, especially if payment providers can achieve similar results with less risk and complexity.
Internal research reportedly shows declining public interest in a government-issued digital pound.
At the same time, key advisory figures have quietly stepped away from committees focused on the CBDC initiative, signaling possible disinterest behind the scenes.
A Global Shift Away from CBDCs
The BoE isn’t alone. CBDCs, once considered the future of digital finance, have rapidly fallen out of favor across the globe.
Over 180 countries were working on some form of CBDC just a few years ago. But in 2025, that momentum is slowing—fast.
The shift largely mirrors the United States’ decision to halt its own CBDC plans.
With the Trump administration now openly backing stablecoins over state-run digital currencies, countries worldwide are rethinking their approach.
Here’s a snapshot of countries that have officially shelved or deprioritized CBDC development:
- Denmark
- Ecuador
- Senegal
- Finland
- United States
- Switzerland
- Japan
China was the first to build and test a CBDC prototype, setting off a global race in 2021.
However, much has changed since. Back then, crypto adoption was sparse and frequently met with resistance.
Now in 2025, favorable crypto legislation is sweeping across jurisdictions, fueling a new wave of decentralized finance—and making CBDCs feel increasingly outdated.
Even former critics like Russia have reversed course, using cryptocurrencies in cross-border trade and legalizing mining operations.
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Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
His coverage spans major industry events, including the high-profile collapses of FTX, Three Arrows Capital (3AC), and LUNA, offering readers insightful analyses of their regulatory and market implications. Prashant’s technical background enables him to bridge the gap between intricate blockchain technology and its real-world applications, making his work accessible to novices and experts.
Beyond his professional pursuits, Prashant is an avid music enthusiast, often exploring diverse genres to unwind. A sports lover, he has a particular passion for cricket and frequently engages in discussions about the game. His multifaceted interests and sharp journalistic instincts make him a valuable contributor to CCN, where he continues shaping the crypto landscape's narrative.
