wholesale CBDC vs retail CBDC - what's the difference?

wholesale CBDC vs retail CBDC - what's the difference? there's two types of central bank digital currencies (CBDC): retail CBDC and wholesale CBDC ➖ retail CBDC = used for ordinary transactions. digital version of the cash ➖ wholesale CBDC = used for interbank/financial institution settlement. tokenized central bank reserves

retail CBDC will be used for day-to-day payments, similar to the ones you do with with a credit card. this is the type of CBDC you can use for business and consumer transactions, such as paying for a supermarket purchase

retail CBDC is the digital version of currency - a liability of the central bank in the balance sheet

wholesale CBDC will be used by financial institutions only, such as commercial and central banks for interbank and market settlement wholesale CBDC will only be transacted between select financial institutions - it's not something you'd use as a regular business or consumer

thus, wholesale CBDC is a tokenized/digital version of central bank reserves used by the financial market infrastructure (FMI) and banks it also lives on the liability side of the central bank