Topic: Very serious Question the New money system - page 2. (Read 364 times)

In my opinion, China is not acting rashly.  If the Central Bank of China is actively testing CBDC, then this makes sense. 

China has a strategic plan for the development of its economy (roadmap).  China is not interested in technology for technology's sake.  China is interested in technology as a tool for economic and geopolitical expansion. 

Moreover, finance is the circulatory system of any economy. 

Other countries will also be forced to develop the CBDC system.  Otherwise, they will face a technological lag.

It will happend what need to happend.

Many countries are hesitant to switch to cryptocurrency due to the fact that it is rather difficult to control, almost impossible. What about taxes? Countries are likely to start taxing citizens. But so far these are just rumors, no one knows what will happen next.

I Think CBDC are just the nice names nothing behind that.

We have all ready nice stable coins we can start use usdc and usdt easy!!  No need other coins more we got then all ready.

Doubt that they are even considering using cryptocurrencies as payments for the new monetary system. They can't trust a decentralized system unless it's like the Tether or any centralized cryptocurrencies that they control which they've been building up through CBDC.

Sort of stimulus? LOL.

I hope that they'll also give that to us but no hope with that.

Err I don't think you should worry much about issues regarding security and whatnot if ever the world goes towards a cashless society, since you're simply limited by the current mindset that our tech has. Security and Technological issues that would arise now wouldn't be much of an issue (I believe so, since technology doesn't really stagnate imo) after a few decades lets say, and only then would the system of cashless society be fully implemented. Simply speaking, it's all trial and error.

As for value supply, well I'm not an economist but a suitable formula should come up one way or another.

There are two aspects to Fiat replacement.

One is USD dominance and correspondingly the overwhelming effect of Feds policies to the world economy, considering that the Fed itself is a puppet of its most prodigious capitalist sons. The other is people coming to the self-realization that simply holding Govt issued currency is a risk and choosing to diversify into Bitcoin.

Bitcoin cannot make much of a difference in the first aspect towards devaluation of fiat and hence, the "old rulers" will continue to hold power. Surely though, people themselves can weaken it by choosing the second way and it seems, they are already doing it forcing regulators to reconsider how they deal with Bitcoin.

Most probably just send blockchain based money through public distribution systems where individuals are easily identifiable through their SSN etc. There aren't gonna be any exclusive airdrops, that is for sure.

This is unrelated and like Hydrogen pointed out:
Very aptly put. It all depends on the end goals. Yet, it all turns out fine when there is not a sole authority deciding on that "end goal". The "end goal" is always a complex amalgamation of disagreements, negotiations, compromises such that it keep everyone satisfied to some extent but no single party feels that it got everything that it wanted.

Yes they will try and get themselves going. In fact whatever that will replace the bank will still be within the banking pattern with little change maybe because of the modern kind of operation and cryptocurrency adoption. However, it will still have a level of centrality, housed under a roof with known physical address and controlled by the government.

You need to understand that despite their power governments cannot change something as important as a currency, as long as the system remains in place they will not change fiat currencies because if they did then they will be blamed completely for the collapse of the economy, so they are waiting and seeing how long they can keep things going on and only once a currency crisis strikes then replacing fiat with something else will be over the table, but make no mistake whatever system they are thinking on implementing will be more oppressive than what we have now.

Not all Governments can let their bank or system to crash unless there is no more support can get from other countries or their system can't no longer provide the needs of their people. They will surely try to find more ways to use what they traditionally do to make their system work. Only new governments or countries who already lose the value of the monetary is open to the idea of new money system since they need options to wake up their economy like in Venezuela, if crypto will be accepted throughly in more countries that's the only time new system can truely exist in many countries as long as their government is open in the idea and access of crypto and there is unity between all countries that approves it.

China is now a leader in financial reform. It is China that is currently actively testing CBDC.  At the same time, you should understand that CBDC is essentially a digital concentration camp.  CBDC involves the abolition of deposit accounts and cash.  

Cash is freedom and privacy, digital money is slavery and addiction.  

Today I talked to a very interesting and intelligent girl.  Her name is Olga.  She expressed a very interesting thought - in the near future we will see a slowdown in technical progress, and the social society will be divided into castes.  I completely agree with her.  

The rise in the price of Bitcoin and Ethereum is not accidental.  It is an alternative to CBDC.  In the future, we will see these two platforms battle.

I don't know who will win.

Central bank cryptos are going to be the new norm once China and the US jump on the ship, I am quite confident about that.

But note that even though these are nominally "cryptocurrencies", they are NOT decentralised in any way. The blockchain in this sense is simply providing a framework for settling transactions and nothing more. There is going to be arguably even greater control by the central banks over the monetary system as negative retail interest rates will become feasible.

So no, I don't think that the 'old system' of trust-based fiat currencies are going to be replaced any time soon. As Hydrogen said, we shouldn't be dealing in absolute terms here. As we are seeing now, bitcoin serves its own niche quite well even with fiat operating alongside it.

What purpose decentralised cryptos serve will ultimately depend on political and economic climates, as it is very hard to envision the government pushing them as a solution to the existing system.

It seems to me that we hear the words that the system has come to an end from year to year, but the system continues to work and crush everything around.
Banks are the main monetary system on the planet, and before they crash, they will create something to keep them in the game.

The world hasn't gone through many changes of the monetary system. I mean from bartering we went directly to precious metal coins and then went off the Gold Standard (big mistake IMO). That's when the decline has begun. We're in a totally different era now then we were even 30 years ago. Technology is booming everywhere you look. I don't know how the governments and Central Banks will handle the transition but it's going to be either a lightning-fast transition that will shock the whole world or the more likely scenario they will adopt/accumulate Bitcoin and then make it mainstream.

Even if they do make a digital currency, that's still no solution for inflation.

If they will build a new system they will not use a currency that we already have they will create a new one. They can adopt blockchain and make a new coins that they have a control that they can mint or add supply anytime they want. And of course it will not work for everyone so we still need paper money if they plan to make an online money they need to also make alternative to those people who don't understand how to use it.

I don't think it is about implementing a new monetary system because lockdown will ease once they start distributing vaccines and the infected people started decreasing. And I also don't think governments will be having a new monetary system.

Other countries may start adopting to CBDC but I doubt they will eliminate the use of paper money. Also, CBDC will still be the same as how they measure and balance the amount of money circulating.

Ok If no cash then?
One day You to shop there is some problems with
Electronic or tech... so how this issue will be solved?  Hackers and this kind of problems
And how Our elderly will use it? 

And cbdc how its measured value supply?

We can guess what the solution will be by reading old articles published by the economist 50 years ago, leading up to the present. Over time it has adapted and evolved to best suit circumstances. It is difficult to say what its final form will be. A lot can change.

Initially, the solution appeared to oppose crypto and bitcoin. As time passed bitcoin and crypto became more integrated, central banks experimented with their own blockchains.

Fiat currencies are historically defined as lacking intrinsic value. Blockchain offers potential advantages of intrinsic value coupled with lacking disadvantages of gold and precious metals. There is an opportunity to leverage the best of both worlds by hybridizing fiat and crypto. If your goal is to create an optimal currency, a crossbred hybrid may be the best platform for the job. But who knows what the future holds. It all depends on what the end goals are. That falls into a realm of "conspiracy theories" which most find distasteful to discuss.

If no new money system we will not get out from the Lock down!
Government knows people can not handle this lockdown for too Long so they will make asap new money system.

Or maybe we dont see this they just  change the debt based money Creation into Something More sustainable perhaps... 

Probably the banks buying bitcoin to use it as the tool to create and hold new kind of system

We are still in the middle of the economic recession from the corona pandemic. I don't think countries will go for a new currency at the moment. This could lead to a full collapse of countries. Once word gets out that there will be a new currency than the value of the old one will go down very fast. In my opinion there won't be any new currency during the lock down.