Why are central bank digital currencies being developed?

Central banks are making digital money so people can use it more easily, just like how we use coins and paper bills every day.

Imagine you have a piggy bank full of coins. When you want to buy ice cream, you have to count out the right number of coins, that takes time! With digital money, you can just tap your phone or card on a machine, and poof, your ice cream is paid for in seconds.

Central banks are like the grown-ups who manage all the money in a country. They want to make sure everyone has fast and safe ways to pay for things, whether it's an ice cream cone or a toy. Digital currencies help them do that, especially when people use smartphones more than cash.

Also, if something goes wrong with paper money, like it gets lost or stolen, digital money can be easier to fix. It’s like having a backup piggy bank in the cloud!