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Glossary
General
CBDC
General
Beginner
Updated 11/26/2025

What is

CBDC?

Central Bank Digital Currency - government-issued digital money that Ergo provides a privacy-preserving, censorship-resistant alternative to.

CBDCs (Central Bank Digital Currencies) are digital versions of fiat currency issued by central banks. Unlike decentralized cryptocurrencies, CBDCs are fully controlled by governments, enabling surveillance, programmable restrictions, and account freezing. Ergo represents the opposite: censorship-resistant, privacy-preserving digital money.

Key Points

  • Government-issued digital currency
  • Full transaction surveillance
  • Programmable spending restrictions
  • Accounts can be frozen instantly
  • Ergo is the privacy-preserving alternative
  • Censorship-resistant vs. censorable

Use Cases

1

Understanding the threat to financial privacy

2

Comparing centralized vs decentralized money

3

Ergo as CBDC alternative

4

Financial freedom preservation

Technical Details

CBDCs are typically built on permissioned blockchains or centralized databases controlled by central banks. They enable programmable money (expiring currency, spending restrictions) and complete surveillance. Ergo's Sigma Protocols and decentralized PoW provide the opposite: privacy and censorship resistance.

Related Infographics

What We're Fighting Against

What We're Fighting Against

Layered view of the financial repression stack and how Ergo answers with censorship-resistant settlement, open programmability and privacy on demand.

Where Ergo Fits Among Major Chains

Where Ergo Fits Among Major Chains

Scatterplot comparing Ergo, Bitcoin, Ethereum, Monero, Cardano, Solana, CBDCs and typical VC chains across launch model, programmability, DeFi and privacy.

Ergo vs Zcash: ZK Without Ceremony

Ergo vs Zcash: ZK Without Ceremony

Side-by-side infographic comparing Ergo’s Sigma-based, trustless privacy and smart contracts with Zcash’s trusted-setup-based ZK model.

Ergo vs Cardano: Two eUTXO Paths

Ergo vs Cardano: Two eUTXO Paths

Infographic comparing Ergo and Cardano as two eUTXO chains with the same research roots but different choices on consensus, launch, privacy and sustainability.

Related Articles

The Ergo Manifesto: Ergonomic Money for Everyone

The foundational vision of Ergo Platform by Kushti - creating decentralized financial tools that empower ordinary people. A manifesto for true peer-to-peer economic freedom.

Ergo And Sigma Protocols: The Next Step In Blockchain Privacy

As first-gen privacy coins see a resurgence of activity, Ergo's composable zero-knowledge signatures offer new options for compliant confidentiality.

Sigma Protocols Explained (Without A PhD)

A plain-English guide to Sigma Protocols – the powerful, flexible zero-knowledge cryptography that powers Ergo's privacy and smart contracts.

Frequently Asked Questions

Questions about CBDC

Common questions about this topic

How to get started with Ergo?

Start by getting a wallet (Nautilus for browser, Terminus for mobile). Back up your seed phrase securely offline. Get some ERG from an exchange (Gate.io, KuCoin) or DEX (Spectrum). Make a test transaction. Then explore: try DeFi on Spectrum, check out NFTs, or dive into the technology if you're a builder.

How-to
Getting Started

Is Ergo a good investment?

This is not financial advice. Ergo has strong fundamentals: fair launch (no VC dump risk), innovative technology (eUTXO, Sigma Protocols, NiPoPoWs), active development, and a cypherpunk ethos. It's a smaller market cap project with higher risk/reward than established chains. Research thoroughly, understand the technology, and never invest more than you can afford to lose.

Comparison
Getting Started

What can I do with Ergo?

Ergo supports a full ecosystem: trade on Spectrum DEX, use SigmaUSD stablecoin, mix transactions with ErgoMixer, collect NFTs on SkyHarbor, mine with GPUs, lend/borrow on DuckPools, bridge to other chains via Rosen, and build dApps with ErgoScript. It's a complete platform for decentralized finance and applications.

Explainer
Getting Started

How to escape financial repression with Ergo?

Ergo provides tools for financial sovereignty: self-custody with no third parties, censorship-resistant transactions via PoW, optional privacy with Sigma Protocols, and programmable money without permission. Unlike VC-backed chains, Ergo has no central authority that can freeze funds or comply with sanctions. Your keys, your coins, your freedom.

Solution
Philosophy
View all questions

Related Topics

Privacy on Ergo

Programmable Privacy with Sigma Protocols

Explore topic

Ergo Philosophy

Cypherpunk Values for Financial Freedom

Explore topic

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