Fear of Facebook spurs Federal Reserve to build its own digital currency

hello_good_sir

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Quote from: cutesgirl on November 05, 2019, 01:47:41 AM

Quote from: hello_good_sir on November 03, 2019, 08:29:25 PM

Quote from: ashmodeus on November 03, 2019, 07:47:54 PM

Quote from: huu78 on November 03, 2019, 07:29:16 PM

Maybe they are afraid of competing with Facebook, where Facebook innovations have emerged first and the lives of their projects will be empflated.
The government feared if the Fiat would be shaken and people would be more interested in that Facebook currency. The value of the cryptocurrency is no tax and it is better to invest.
Perhaps the government is making their currency only for their political interests so that the payment of transactions is able to compete with other private parties.

no , of course that not, they don't affraid fight agaisnt libra/facebook they just affraid about losing control about their own money.
“If the Fed does not stay ahead of this rapidly maturing technology, I fear private sector efforts to eclipse fiat monetary systems will get ahead of them, with potential disruptions to our banking system and in a worst case scenario, loss of control of our own currency.
and they will collapse from what they create before.
and also what u mean no tax ?
many many developed countries already make taxes for cryptocurrency.

I don't think they were afraid of it taking over the regular currency they use, BTC is way bigger and that isn't getting restricted that much (mostly the banks banning people from buying btc).

I reckon it's more about their image, and they don't want a company like Facebook to take over the finance systems since it doesn't have the best track record.

Facebook can be dominance coin after legal by US government, still many economic community disagree with Facebook coin make little late to publish for investor, after announcing more than last three months Facebook coin become most interested discussing public on investor prediction Facebook coin become competitor with bitcoin and other altcoin.

I disagree, how can libra dominate the market when the US has already shattered it. I'm going to take a educated guess here and day that due to the US's involvement it's likely why a lot of their partners pulled out.

Facebook's coin also wouldn't really be a direct competitor to bitcoin, that'll be saying that USDT is a direct competitor to BTC. They both have completely different goals and they understand this, which was why not a lot of people in our community actually hated Libra, but felt bad for them in a way.

cutesgirl

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Quote from: hello_good_sir on November 03, 2019, 08:29:25 PM

Quote from: ashmodeus on November 03, 2019, 07:47:54 PM

Quote from: huu78 on November 03, 2019, 07:29:16 PM

Maybe they are afraid of competing with Facebook, where Facebook innovations have emerged first and the lives of their projects will be empflated.
The government feared if the Fiat would be shaken and people would be more interested in that Facebook currency. The value of the cryptocurrency is no tax and it is better to invest.
Perhaps the government is making their currency only for their political interests so that the payment of transactions is able to compete with other private parties.

no , of course that not, they don't affraid fight agaisnt libra/facebook they just affraid about losing control about their own money.
“If the Fed does not stay ahead of this rapidly maturing technology, I fear private sector efforts to eclipse fiat monetary systems will get ahead of them, with potential disruptions to our banking system and in a worst case scenario, loss of control of our own currency.
and they will collapse from what they create before.
and also what u mean no tax ?
many many developed countries already make taxes for cryptocurrency.

I don't think they were afraid of it taking over the regular currency they use, BTC is way bigger and that isn't getting restricted that much (mostly the banks banning people from buying btc).

I reckon it's more about their image, and they don't want a company like Facebook to take over the finance systems since it doesn't have the best track record.

Facebook can be dominance coin after legal by US government, still many economic community disagree with Facebook coin make little late to publish for investor, after announcing more than last three months Facebook coin become most interested discussing public on investor prediction Facebook coin become competitor with bitcoin and other altcoin.

Eugenar

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Facebook might be not suitable for the entire state that's how the Federal Reserve see it, in this case, building their own digital currency will be a big step to induce market adoption to the entire state. Regarding this, a state having their own digital currency will impact greatly to their people's view on how fiats will be in the future. I can see, they are now taking slow movements to the betterment of cryptocurrency but still not disregarding their banks but to incorporate it for better transactions, faster and much more efficient.

tonyvo2017

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I think a lot of people are really not really sure how big a bank is going to do to a country's financial and economic markets. The bank is the place where providing money to the economy helps many businesses to grow and produce.
If banks are no longer an intermediary step, it seems that they will lose a great source of income. Besides, whether the Fed or any central bank develops a coin with its own blockchain will similarly weaken banks.
In general, I think blockchains should still be used by banks early to make transactions faster.

hello_good_sir

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Quote from: ashmodeus on November 03, 2019, 07:47:54 PM

Quote from: huu78 on November 03, 2019, 07:29:16 PM

Maybe they are afraid of competing with Facebook, where Facebook innovations have emerged first and the lives of their projects will be empflated.
The government feared if the Fiat would be shaken and people would be more interested in that Facebook currency. The value of the cryptocurrency is no tax and it is better to invest.
Perhaps the government is making their currency only for their political interests so that the payment of transactions is able to compete with other private parties.

no , of course that not, they don't affraid fight agaisnt libra/facebook they just affraid about losing control about their own money.
“If the Fed does not stay ahead of this rapidly maturing technology, I fear private sector efforts to eclipse fiat monetary systems will get ahead of them, with potential disruptions to our banking system and in a worst case scenario, loss of control of our own currency.
and they will collapse from what they create before.
and also what u mean no tax ?
many many developed countries already make taxes for cryptocurrency.

I don't think they were afraid of it taking over the regular currency they use, BTC is way bigger and that isn't getting restricted that much (mostly the banks banning people from buying btc).

I reckon it's more about their image, and they don't want a company like Facebook to take over the finance systems since it doesn't have the best track record.

ashmodeus

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Quote from: huu78 on November 03, 2019, 07:29:16 PM

Maybe they are afraid of competing with Facebook, where Facebook innovations have emerged first and the lives of their projects will be empflated.
The government feared if the Fiat would be shaken and people would be more interested in that Facebook currency. The value of the cryptocurrency is no tax and it is better to invest.
Perhaps the government is making their currency only for their political interests so that the payment of transactions is able to compete with other private parties.

no , of course that not, they don't affraid fight agaisnt libra/facebook they just affraid about losing control about their own money.
“If the Fed does not stay ahead of this rapidly maturing technology, I fear private sector efforts to eclipse fiat monetary systems will get ahead of them, with potential disruptions to our banking system and in a worst case scenario, loss of control of our own currency.
and they will collapse from what they create before.
and also what u mean no tax ?
many many developed countries already make taxes for cryptocurrency.

huu78

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Maybe they are afraid of competing with Facebook, where Facebook innovations have emerged first and the lives of their projects will be empflated.
The government feared if the Fiat would be shaken and people would be more interested in that Facebook currency. The value of the cryptocurrency is no tax and it is better to invest.
Perhaps the government is making their currency only for their political interests so that the payment of transactions is able to compete with other private parties.

RealMalatesta

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Quote from: target on October 29, 2019, 02:10:25 PM

I think the Fed will really find it necessary to create their own coin to adopt into the new technology, its going to be centralized we all know that but need it that way. There is no sense in criticizing anymore, its all opensource and can be forked people had already created different alt coins that they shall also be competing. China is about to launch which is a big jump for them and it feels like most countries who are against it are being tricked by China.

I understand what you are saying, there is no way we can stop them from creating their own coin seem everyone that want to enter into Blockchain technology likes to create their own coin, but don’t you think that these coins will be becoming too much if everyone is creating their own coin, and when every country begging to create there, it will limit the use of cryptocurrency to a particular people and not make it expand for it to be uniformly used.

As china as created its own crypto, you know that it will be limited to the china people alone, as you will never find a us person using it, and this is not the view of cryptocurrency which is why I feel they ought to have just embrace bitcoin in other to create the oneness that we need for the world.

target

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I think the Fed will really find it necessary to create their own coin to adopt into the new technology, its going to be centralized we all know that but need it that way. There is no sense in criticizing anymore, its all opensource and can be forked people had already created different alt coins that they shall also be competing. China is about to launch which is a big jump for them and it feels like most countries who are against it are being tricked by China.

daarul50

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Quote from: hugeblack on October 20, 2019, 11:01:34 AM

It is unlikely that a central bank will launch a decentralized or cryptocurrency. Note that a "cryptocurrency" word means there is some decentralization in addition to encryption in its layers.
Facebook call for the launch of a hybrid currency trying to gain new competitive advantages against paper currencies & subject to legislation is a whistle the beginning of the emergence of this type of industry and will not stop unless the launch of a hybrid currency of major alliances that serve as the central bank and subject to its legislation.
So whether Libra succeeds or not, we will see the birth of a hybrid currency nearby. It determines the time, the extent of its decentralization and its effectiveness.

it is inevitable in the digital era where everything is digitized , start from newspaper , books, shopping etc have a digital version now. payment processor / currency is being digitized now so i won't surpised at all with this.

just the matter of time, as the reason behind why it is urgent to have digital currency is because the traditional money works in ineficient way like :
the fees is high
the transaction proccess takes too long
it was not easy access to your money

to summarize it all , they knew the advantages of digital currency but disagree with the cryptocurrency concept as they want a control over it. that's why they prefer/ planning for a hybrid currency.

SquallLeonhart

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Quote from: alyssa85 on October 22, 2019, 07:29:24 PM

Quote from: odolvlobo on October 20, 2019, 04:14:00 AM

I have no doubt that if a central bank develops a cryptocurrency, it will be centralized (or at least federated) and they will track every cent that you spend.

It will simply be a fiat currency that you can move via a blockchain. And it's value will be exactly the same as the fiat. So $1 on a blockchain will be the same as $1 in paper currency.

It just makes it easy to move without using western union and so on. And kills off Facebook's coin (which is trying to be a stable coin pegged to the dollar). Why bother with a stable coin issued by a company when you can have a blockchain dollar that is the real thing?

If you ask for my own opinion, I think i would even prefer to use that government owned cryptocurrency than to go for Facebook option because I think Facebook has a very funny way of trying to hijack everything which is for profit purpose, so Facebook coming to cryptocurrency to promise all those features of their Libra coin was never because they had true passion or emotion for cryptocurrency and the liberation of people, but i think first, it would be for more money making, and secondly, it could also be away to get back at the government too for the charges that is being slammed on them for their privacy control fault issue they had with the government.

I am ready to support whatever that would make all those PayPal, western union less powerful and less involved in our transaction.

audaciousbeing

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In my own opinion, I wont say its the fear of Facebook but rather the fear that their teeming population are moving towards digital currency. Not everybody would use Facebook and even without the Libra currency, a lot of people have beef against Facebook simply because of the fact that it has access to a lot of people information across the globe which in recent times have been found deficient in keeping those information safe. If it were to be Facebook, they would have ensured that fight is killing Libra and the moment large conglomerates are pulling out of the initiatives, they should just go back and rest but because they know that even if Facebook did not develop Libra, nothing is stopping their people from going digital and they need to be ready for it.

NathanJB

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Quote from: ivakar on October 24, 2019, 01:24:02 AM

Quote from: fiulpro on October 24, 2019, 12:51:43 AM

Yes this is what I was talking about , the reason the government was so controlling over the Facebook's decision of building their own cryptocurrency is not because it is bad for the society but it's because they fear that it might cause a uproar , a now government , a new nationality might arrise , everyone already knows how many people are on Facebook and how many companies trust them and are sponsoring them , therefore I think it might really be successful.

while I agree with the first part of your thoughts, but as for the second one I think it is even too complex then that. all they want is to control financial flows and money emissions
in fact it does not matter for them if it is paper or digital money until they control it and gains profits.

Their attitude can be summarized from your post. It does not matter for as long as they gain profit. That is what they are and what they do. This attitude covers not only about financial flow and money emissions. This also includes the observance of the law. They do not care about whether something is illegal or not for as long as the price is paid. Double standard is always the standard of the government.

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Quote from: ivakar on October 24, 2019, 01:24:02 AM

while I agree with the first part of your thoughts, but as for the second one I think it is even too complex then that. all they want is to control financial flows and money emissions
in fact it does not matter for them if it is paper or digital money until they control it and gains profits.

This is their hidden agenda, just like how China keeps banning cryptocurrencies since thy can't put tax on those money or investments that are in cryptocurrencies since exchanges location are all different. What more that facebook is used in all over the world and many big companies are interested that somehow drops their partnership now due to pressure that Facebook or Liba needed to comply to start operating, but we understand complying is really needed to secure users privacy.

ivakar

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Quote from: fiulpro on October 24, 2019, 12:51:43 AM

Yes this is what I was talking about , the reason the government was so controlling over the Facebook's decision of building their own cryptocurrency is not because it is bad for the society but it's because they fear that it might cause a uproar , a now government , a new nationality might arrise , everyone already knows how many people are on Facebook and how many companies trust them and are sponsoring them , therefore I think it might really be successful.

while I agree with the first part of your thoughts, but as for the second one I think it is even too complex then that. all they want is to control financial flows and money emissions
in fact it does not matter for them if it is paper or digital money until they control it and gains profits.

fiulpro

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Yes this is what I was talking about , the reason the government was so controlling over the Facebook's decision of building their own cryptocurrency is not because it is bad for the society but it's because they fear that it might cause a uproar , a now government , a new nationality might arrise , everyone already knows how many people are on Facebook and how many companies trust them and are sponsoring them , therefore I think it might really be successful.

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One point of concern is that, who would act as a node if Federal Reserve launches a cryptocurrency? It is evident that Fed won't employ common people like us to run a node from our homes, so who would that be?? If Fed itself choose to act as a node and retain the power to control the network, it's not decentralization! So Fed issued cryptos will just become a digital representation of the fiat money with a tweak! In this process, they will cut out their close allies, Banks!

Leyss

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The United States had long had to work on the issue of its national stable coin, and not wait until private individuals began to deal with global financial issues and therefore the US financial system will in the future depend on the actions of these private individuals. Probably, the US government realized that it is better to lead the process of transition of society to cryptocurrency than to fight it. Therefore, this step is quite predictable, especially after the Chinese government began to force the appearance of its national stable coin CBDC. This is a fairly positive process for the development of cryptocurrency if world states begin to issue their national stable coins, which will be supported by governments.

alyssa85

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Quote from: odolvlobo on October 20, 2019, 04:14:00 AM

I have no doubt that if a central bank develops a cryptocurrency, it will be centralized (or at least federated) and they will track every cent that you spend.

It will simply be a fiat currency that you can move via a blockchain. And it's value will be exactly the same as the fiat. So $1 on a blockchain will be the same as $1 in paper currency.

It just makes it easy to move without using western union and so on. And kills off Facebook's coin (which is trying to be a stable coin pegged to the dollar). Why bother with a stable coin issued by a company when you can have a blockchain dollar that is the real thing?

The Sceptical Chymist

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Quote from: Hydrogen on October 20, 2019, 02:17:33 AM

The real reason for negative press against crypto has been its innovation and value factors.

I disagree--negative press is because of the threat bitcoin poses to the current banking and fiat systems, just like the article said the Fed was concerned about. Bitcoin is also a new thing, which most people don't understand and the media plays on the fear that is inherent with the unknown. It drives me crazy.

And yeah, any fedcoin will be centralized and will probably be unpopular with the plebians unless we're forced to use it, of course. But you know what? As long as the US doesn't outlaw bitcoin, I'm fine if they create their own coin. Let the market decide what it wants. I don't think the threat to the system from bitcoin is anywhere near as bad as they might think. It's been around for ten years now and hasn't exactly disrupted anything to the point where banks are sweating bullets.

The government is probably more worried about tax evading and people using crypto for illegal goods & services, and their argument in the article is likely a smokescreen.

Topic: Fear of Facebook spurs Federal Reserve to build its own digital currency (Read 394 times)