Investigating individual privacy within CBDC: A privacy calculus perspective

• Published in: Research in international business and finance 2023-01, Vol.64, p.101826, Article 101826
• Main Authors: Jabbar, Abdul, Geebren, Ahmed, Hussain, Zahid, Dani, Samir, Ul-Durar, Shajara
• Format: Article
• Language: English
• Subjects: CBDC; Cryptocurrency; Digital currency; Fintech; Privacy
• ISSN: 0275-5319; 1878-3384
• DOI: 10.1016/j.ribaf.2022.101826

Central Bank Digital Currencies (CBDC) are a digital innovation based upon distributed ledger and smart contract technology. In this paper we examine how potential users of CBDC technology willingly disclose their personal information. The researchers conducted an online quantitative survey which investigates the privacy perceptions of consumers. Using the privacy calculus theory lens, this study looks at the potential benefits of CBDC and how these influence user perceptions towards privacy disclosure. While this research suggests that participants in the study had negative perceptions in relation to the disclosure of personal information, many were willing to offset these concerns if there are significant benefits in the usage of CBDC. Factors such as ease of use, convenience, availability, and credibility were viewed as key benefits in this scenario. Thus, future banking strategies and marketing approaches need to consider these components to foster CBDC adoption. [Display omitted] •Investigate users’ willingness to disclose privacy information for CBDC usage.•Utilize the privacy calculus theory to develop and test a framework to understand personal information disclosure.•Examine the role of ease of use and convenience as factors in CBDC adoption.•It was found that the right level of perceived benefits leads to higher rates of privacy disclosure.