Central Bank Digital Currency
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A central bank digital currency has all the problems of fiat currencies, plus government control of your life. It's not public ledger, or anonymous blockchain. It's programmable money that allows government to see your every move and will give them complete control over your life. It's pure evil.
Will CBDC become reality? Quite possibly, and maybe soon. The bank collapses give the Fed a great opportunity to sell the idea. Maybe instead of bailing out a bank, they convert it to a CBDC "bank". Depositors are given a digital wallet and funds transferred to their new wallet. Maybe throw in a few hundred bucks as incentive to make the switch. Problem then is to get merchants onto the new system. That will be a slow process, but again, I wouldn't be surprised if they came up with more incentives - low or no processing fees, seeding the account with money.
Who was it that said "don't let a crisis go to waste"? The banking crisis may be the perfect opportunity for government to get the ball rolling on a CBDC.
Will CBDC become reality? Quite possibly, and maybe soon. The bank collapses give the Fed a great opportunity to sell the idea. Maybe instead of bailing out a bank, they convert it to a CBDC "bank". Depositors are given a digital wallet and funds transferred to their new wallet. Maybe throw in a few hundred bucks as incentive to make the switch. Problem then is to get merchants onto the new system. That will be a slow process, but again, I wouldn't be surprised if they came up with more incentives - low or no processing fees, seeding the account with money.
Who was it that said "don't let a crisis go to waste"? The banking crisis may be the perfect opportunity for government to get the ball rolling on a CBDC.
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Have they figured out how to make and take untraceable bribes/kick backs? Joe doesn't want to pay taxes on his under the table 10% and he's not the only corrupt pubic official.
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It sure sounds like complete evil to me.
Each person will need to be 'law abiding' 100% before you can buy a dozen eggs.
Recently POTUS made a speech where he declared that all Repubs are terrorists. If we were on CBDC, then with one Executive Order he could have frozen all funds for every registered Repub in the nation.
That is a lot of power to wield.
Each person will need to be 'law abiding' 100% before you can buy a dozen eggs.
Recently POTUS made a speech where he declared that all Repubs are terrorists. If we were on CBDC, then with one Executive Order he could have frozen all funds for every registered Repub in the nation.
That is a lot of power to wield.
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194 Posts
I am sure , at least at first "they" will all be exempt from all oversight!
Communism, Chinese style. China has a social credit scoring system. That will be easy with a CBDC. Drive your gas powered car too much, cooling bills too high in the summer? That will ding your social credit score. Give to the wrong political party or buy the wrong foods? They'll know.
It tramples on the 4th Amendment, perhaps others. Now, if you are under investigation, they need to get a judge involved to be able to pry into your finances. With a CBDC? No warrant or judge needed. They can find out in seconds exactly where you've spent every dime and who you interacted with over any period of time.
A CBDC is evil. It paves the way for tyranny on a scale never seen. It must be rejected.
Yeah ... the dude at FTX demonstrated masterfully how to use digital currency to bribe and/or fund corrupt politicians. It's about as easy as it is to flick a light switch.
... edited spelling error.
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Are you referring to Sam Bankman-Fried and FTX? As I understand it, cryptocurrency is completely different than CBDCs. What he did with cryptocurrencies held on a centralized exchange is not what the government(s) are positioning to do.
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It may allow a president that much power, but there is no way that it would ever be exercised on such a wide scale. That would be instant revolution and would also hurt the other half of the nation's financial well being too. But they could certainly leverage that power, coerce folks into compliance ..."or else"
Yes ... FTX. But what he did to that variety of "e-money" the banks could do with their variety of "e-money." It's all digital rather than tangible, so I don't trust any of it, regardless of what it's called. A flick of a switch and the banks can turn it off and keep it for their own purposes.
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Not even close to true...banks nor the government have any control over bitcoin. They can’t just “flick a switch” and keep anyone’s bitcoin. I don’t think you fully understand what a decentralized currency is
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Correct, nobody controls massively decentralized, crediblely neautral blockchains like Bitcoin and Ethereum. They are completely different than our current digital dollar and certainly vastly different than CBDCs which as mentioned above are completely controlled and manipulatable by government.
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Much of money has been digital for some time. One source states that only around 3 pct of money consists of FRNs and coins, and only because it's impractical to use them for big ticket items.
Much of money is created by commercial banks rather than the Fed, which itself is a private consortium of Wall Street banks. Nowhere close to communism.
Fiat currencies are used in capitalist systems for practical purposes, together with legal systems providing limited liability, etc. The same goes for money in general.
Money itself is essentially a promissory note, including bitcoin.
Money is part of credit, of which the largest component consists of unreported side bets. The notional value of those is said to be over $1 quadrillion, which gives new meaning to the idea of decentralization.
Much of money is created by commercial banks rather than the Fed, which itself is a private consortium of Wall Street banks. Nowhere close to communism.
Fiat currencies are used in capitalist systems for practical purposes, together with legal systems providing limited liability, etc. The same goes for money in general.
Money itself is essentially a promissory note, including bitcoin.
Money is part of credit, of which the largest component consists of unreported side bets. The notional value of those is said to be over $1 quadrillion, which gives new meaning to the idea of decentralization.
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What else other than "what it is" are you trying to learn about it?
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88 Posts
what happens when the electricity goes off?
every time we have a big storm, half the town loses power and all the "cash only" signs come out. you can't get anything unless you have cash.
aside from the pure evil part of it, it just doesn't seem like a very good idea.
every time we have a big storm, half the town loses power and all the "cash only" signs come out. you can't get anything unless you have cash.
aside from the pure evil part of it, it just doesn't seem like a very good idea.
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88 Posts
there have been times that we had power, but the internet went out. then EVERY store/service became cash only.
but i'm sure there wouldn't be any hacking problems with that system.
but i'm sure there wouldn't be any hacking problems with that system.
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I'm not an advocate for a CBDC, and want cash to stay firmly in place but, starlink and solar/battery backup effectively solve most of those challenges for digital dollars, CBDCs and crypto in the long run.
Technology still needs to evolve and improve greatly on the battery front and a bit more on the solar front, but the time will come when almost every home and certainly every business is running battery backups, it's essential for the migration to EVs which is coming on a long enough timeline with or without government mandating it.
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