CBDC. Get used to that acronym because you're going to see a lot more of it. CBDC stands for "central bank digital currency". How would it work?
To take a simplified example, let's say the Monetary Authority of Singapore (MAS) issues a CBDC. It allows individuals to hold deposit accounts at the MAS, and everybody does. Then if I need to make a payment to you, I activate the MAS payment app on my phone, fill in the payment details, designating you as the payee. The MAS debits my account after verifying I am the rightful owner and have a sufficient balance. It then credits your account after checking your credentials. Commercial banks or other intermediaries are not involved.