Citi survey finds that institutional demand for CBDC settlement has dropped significantly, turning to other digital payment methods

According to a white paper on securities services evolution released by Citigroup, the demand for using central bank digital currencies (CBDCs) for digital asset settlements has dropped significantly from 52% last year to 15% among nearly 500 surveyed institutions. In contrast, institutions have shown increased interest in other digital payment methods such as non-bank stablecoins, tokenized deposits, and tokenized currency market funds. In addition, the survey pointed out that although North America is leading in proof-of-concept (30%), there are no commercial projects yet, while Europe and Latin America have more ongoing actual projects. With the integration of traditional and digital assets, Citigroup expects automation, cloud infrastructure, and solutions integrated with DLT networks to become the focus of future investments.