Central bank digital currencies would give individuals exclusive control over their own transaction records, stored on personal devices rather than in bank databases. This research examines how that shift in data ownership changes who controls financial information, who can access it, and what economic consequences follow. The problem is that current financial data governance was built for a world where banks mediate every transaction. CBDCs break that model: individuals could hold and potentially monetise their own data, while central banks and private firms gain access to real-time, micro-level spending patterns across entire populations. No existing governance framework accounts for these competing interests—individual privacy, central bank oversight, and commercial innovation. If the research succeeds, it will produce policy recommendations for balancing ownership, privacy, and economic utility. These could shape how future digital currency systems handle data access, affecting everything from consumer credit scoring to macroeconomic forecasting. The work is primarily conceptual—synthesising law, economics, and technology literature—but its findings could directly inform regulatory frameworks before CBDCs are widely deployed.
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Summary of the Proposal This proposal explores the transformative effects of Central Bank Digital Currencies (CBDCs) on financial data governance, focusing on ownership, access, and the broader economic implications. The advent of CBDCs introduces significant shifts in data dynamics through two core developments: a redefined structure for personal data ownership and enhanced utility of micro-level, real-time financial data. Objectives and Scope 1. Ownership and Control of Financial Data: CBDCs disrupt traditional data governance by enabling individuals to gain exclusive control over their financial data. Unlike conventional systems where banks mediate data exchanges, CBDCs allow users to store transaction records on personal digital devices while maintaining the credibility assured by central banks. This change poses both opportunities and challenges for individual data monetization and privacy. 2. Impacts of Enhanced Data Availability: The integration of blockchain technology with CBDCs ensures real-time access to high-resolution, micro-level data. These technological advancements provide unprecedented insights into economic behavior and heterogeneity among groups, offering new avenues for innovation and research while demanding robust governance frameworks. Research Approach The proposal aims to synthesize interdisciplinary literature across law, economics, finance, and technology to identify strengths, gaps, and implications for governance frameworks in the emerging CBDC landscape. By analyzing the evolving role of stakeholders---central banks, individuals, and private entities---the research will offer guidance on balancing competing interests, fostering innovation, and mitigating risks. Outcomes 1. A comprehensive literature synthesis identifying gaps and emerging trends in financial data governance. 2. Policy recommendations for equitable and efficient governance models, addressing ownership, privacy, and economic utility. 3. Contributions to scholarly and practical discourse through publications and stakeholder engagement. This synthesis will bridge academic insights with policy development, addressing critical governance challenges posed by CBDCs while shaping future financial systems.
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