Key Takeaways
- Around the world, CBDC projects have slowed in 2025.
- However, central banks continue to make steady progress.
- The Central Bank of West African States is the latest to confirm a CBDC pilot.
In 2025, stablecoins have largely stolen the limelight from Central Bank Digital Currencies (CBDCs).
However, around the world, central banks are quietly progressing with their various CBDC initiatives.
For instance, the Central Bank of West African States is preparing to launch its CBDC pilot in the new year.
Meanwhile, the Bank of England’s regular forums on the matter reveal steady progress on the digital pound.
CBDCs Sidelined By US Stablecoin Push
Not so long ago, CBDCs were at the heart of the conversation around digital money.
Starting around 2019, what had previously been a niche interest among payment nerds captured the public imagination.
In 2020, China’s e-CNY pilot garnered significant media attention.
When Nigeria’s central bank launched the eNaira a year later, the world watched closely to see how the first nationwide implementation of the concept would unfold.
By 2024, digital pounds, euros, and dollars seemed inevitable, with more than 90 central banks in the exploratory stage and 44 live pilots underway.
However, the U.S. election that year changed everything.
On the campaign trail, Donald Trump slammed CBDCs as a form of government surveillance and vowed to shut down the Fed’s digital dollar explorations.
True to his word, once he entered the White House, one of the first executive orders Trump signed explicitly prohibited the creation of a CBDC within the United States.
Subsequent efforts to enshrine a ban in the more enduring form of an Act of Congress are also underway, with the House passing the Anti-CBDC Surveillance State Act in July.
Washington’s stablecoin push serves as an important corollary to the anti-CBDC movement.
While both technologies address calls for currency digitization, stablecoins present a much more immediate reality.
Significant changes to a nation’s monetary base can take years to plan and implement.
By the time more central banks make their move, stablecoins worth trillions of dollars may already be in circulation.
Can Slow-and-Steady Win the Race?
With stablecoins dominating the global conversation, CBDC plans appeared to stall.
Although some central banks have moved them onto the back burner, they continue to make quiet progress.
In a sign that the movement is still alive, the Central Bank of West African States will start piloting a digital version of the West African CFA franc in the new year, Governor Jean-Claude Kassi Brou confirmed recently.
The announcement follows the launch of Uganda’s digital shilling pilot in October.
Meanwhile, minutes from the Bank of England’s CBDC task force reveal ongoing discussions on the finer details of implementation.
Central bankers’ enthusiasm isn’t always matched by political appetite. The same concerns that motivate Trump’s anti-CBDC agenda continue to fuel resistance elsewhere.
For instance, while the European Central Bank is pressing ahead with plans to launch a digital euro as early as 2029, lawmakers are less convinced.
Ongoing pilots and explorations don’t mean CBDCs are guaranteed.
While central banks around the world have been instructed to prepare the ground, ultimately, it will be politicians, not central bankers, who have the final say.
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James Morales is CCN’s blockchain and crypto policy reporter. He has been working in the news media since 2020, writing about topics such as payments, banking and financial technology. These days, he likes to explore the latest blockchain innovations and the evolving landscape of global crypto regulation.
With an educational background in social anthropology and media studies, James uses his platform as a journalist to explore how new technologies work, why they matter and how they might shape our future.
