Description
Central Bank Digital Currencies (CBDCs) are poised to disrupt global power dynamics, with China at the forefront through the issuance of the Digital Yuan (e-CNY). The Eurozone has made significant strides towards a Digital Euro, while the UK has explored the potential of a Digital Pound (‘BritCoin’), though it lags behind China and the Eurozone in CBDC development. This article conceptualizes these digital currency developments within the context of ongoing power shifts and intensifying geopolitical competition. It aims to answer the following question: How are the Eurozone and the UK positioned in response to global CBDC advancements, and what impact might Digital Euros and Pounds have on economic competitiveness and global power competition? To address these questions, this research makes a novel theoretical contribution by incorporating technological change within a structural power framework. It employs an in-depth case study analysis, drawing upon relevant IPE literature whilst proposing a quantitative descriptive data analysis. The proposed study contributes to contemporary theoretical debates around technological change and power shifts in International Relations.
