Most of the members of the European Union have a single currency called the Euro, and for years there have been plans by the ECB for a digital euro, in addition to which they mention restrictions up to a maximum of 300 digital euros per person. There's no big deal wherever it happens, because what's the difference when you pay with a bank card or use a CBDC app?
Central bank digital currencies are one of the most misunderstood things and have absolutely nothing to do with Bitcoin and will not bring about any kind of financial revolution. Sweden does not have a CBDC, but it is a country where 98% of all payments are made digitally.
The difference is the blockchain.
There are positives with the CBDC transition, when I say positives, I mean for Bitcoin and blockchain technology
- Increased funding for blockchain research
- Increased transparency/immutable recording of financial transactions.
- Increased money supply & rate of expansion
The latter is NOT good for humanity or the global fiat economy. It is however, good for Bitcoin, as more money means weaker fiat vs. BTC.
The negatives of CBDCs extend endlessly. One of the most dangerous parts about it is the further weaponization of money. CBDCs will make it a lot easier for nations, central banks and governments to impose sanctions on individuals, businesses, or other nations with much more ease. Especially when cash is abolished, which will likely be next on the agenda after CBDCs are ready to be deployed.