4  Issuance Forms of CBDC  Figure 5  Account-based CBDC  Token-based CBDC  Central Bank User's account  (1) Opens an account, deposits cash  (4)  Central Bank  Merchant's account  (3) Account transfer instruction  Deposits cash  (1)  (2) Shopping  User  Merchant  (1) A user opens an account and deposits cash at a central bank.
(2) The user shops at a merchant. (3) The user sends an account transfer instruction to the central bank. (4) The central bank transfers CBDC to the merchant's account. User  Issues CBDC  (2) Shopping  Merchant  (1) A central bank issues CBDC to a user in exchange for cash. CBDC is stored on the user's smartphone application or IC card.