Do Financial Markets and Safe-Haven Assets Affect CBDCs? Examining the Nexus between CBDC, Stock Index, Metal Commodity Futures, Oil Price, and Volatility

Bilal Ahmed Memon () and Gulhayo Nusratova ()
Additional contact information
Bilal Ahmed Memon: School of Business and Economics, Westminster International University in Tashkent, Uzbekistan
Gulhayo Nusratova: School of Business and Economics, Westminster International University in Tashkent, Uzbekistan

Journal of Central Banking Theory and Practice, 2025, vol. 14, issue 2, 151-167

Abstract: Understanding the determinants of central bank digital currencies (CBDCs) is crucial for ensuring financial stability, fostering innovation, and framing effective policies associated with the digitalization of currency. Therefore, we study how financial markets and safe haven assets can affect the CBDCs. Using time series econometric methods, we thoroughly investigate and obtain the results that highlight the importance of the main determinants in the CBDC uncertainty and attention index between the years 2015 and 2023. Our study shows that VIX, S&P500, and Silver are positively associated with both the CBDCUI and CBDCAI. However, Gold is negatively correlated with both dependent variables. Moreover, WTI oil is positively associated with CBDCUI. Our findings provide wider and important implications for regulators, investors, and businesses around the world.

Keywords: Central bank digital currency; financial markets; commodity futures; Uncertainty and Attention index. (search for similar items in EconPapers)
JEL-codes: C58 E42 E44 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.cbcg.me/repec/cbk/journl/vol14no2-7.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cbk:journl:v:14:y:2025:i:2:p:151-167

Access Statistics for this article

More articles in Journal of Central Banking Theory and Practice from Central bank of Montenegro Contact information at EDIRC.
Bibliographic data for series maintained by ().