DIGITAL CURRENCIES' IMPACT ON TRADITIONAL MONETARY SYSTEMS: A COMPARATIVE ANALYSIS OF BITCOIN AND CENTRAL BANK DIGITAL CURRENCIES

This article examines the transformative impact of digital currencies on conventional monetary systems through a comparative analysis of Bitcoin and Central Bank Digital Currencies (CBDCs). The research synthesizes existing literature to evaluate how decentralized cryptocurrencies and state-backed digital currencies challenge traditional banking infrastructure, monetary policy transmission, and financial intermediation. This research contributes to understanding how digital monetary innovations reshape the architecture of global financial systems and the future trajectory of monetary sovereignty.