Topic: Will central bank digital currency (CBDC) make bitcoin worthless? (Read 424 times)

It is actually the same value as paper money. The government that has created these CBDC are just trying to say, Here is a digital currency for you to use since you like Cryptocurrency but apart from Cryptocurrencies being Decentralized, can people make profits from any Digital money like you do invest in Cryptocurrencies? of cause not, so another major difference and CBDC can never make Bitcoin worthless.

I don't think so, bitcoin will continue to be valuable and can get higher, digital money is different from crypto money even though it's the same as digital, here crypto money really respects user data compared to digital money and also I think the value of digital money is the same as ordinary paper money is different from bitcoin which is 1 BTC more or less than 49k$

CBDC doesn't have any role to make bitcoin worthless. The term itself gives clear information that it is a digital currency. What does a digital currency mean, it is the digital representation of the physical fiat into regular usage. CBDC is completely backed by the Central Bank and through different authorities it reaches the user network. This means without intermediary this won't function. The central Bank is the issuing authority, and there will be commercial bank and payment service providers as intermediary. Through the below image it can be understood easily.



Image Source : Google Images

You said it right there. As long as it is not a Cryptocurrency, any other form of digital money or CBDC cannot really qualify as a cryptocurrency because these other digital assets are still under the control of the various Government that created them and I think this is one if not the major difference between them since cryptocurrencies are basically decentralized which any CBDC is not.

I sincerely doubt it. Most people are already familiar with internet banking, so they should have some sort of experience of how to interact with money that has no physical representation. Basically, the interaction consists of one action, which is "send funds or pay for something." You must specify a destination for your payment or it won't get through. When you're receiving money, you don't need to do anything at all, your bank handles everything for you. Bitcoin is a different story because there is no one there who can protect you from making mistakes. Before starting to interact with bitcoin, you first must learn where to download your wallet, how to verify the integrity and authenticity of downloaded files, how to create a wallet, how to back up your keys, how to keep them securely, how to behave properly to preserve your financial privacy, how to control and choose UTXOs, how to distinguish between different formats of addresses, how to control and bump fees, how to use RBF and CPFP, etc. In CBDCs, there is none of this. CBDCs will be very simple and straightforward in this regard, so most people won't bother to switch to a more complicated currency, which is Bitcoin.

I don't think the CBDC will make bitcoin worthless because it will serve its own purposes for sure in the future. CBDC isn't considered a cryptocurrency. It may appear to some as it is, but the fact is it is not. It is only an extension of fiat money representation, only that not in physical one but in digital means. I believe this is one of the things that the government has come up with to be in the same pacing of the innovation and technology that we have today and to, of course, boost the usage of fiat in digital transactions like that of cryptocurrency. Although CBDC is certainly not going to be the same with bitcoin because bitcoin is a completely independent and decentralized entity that just needs the market to make it continuous and to determine its value. However, CBDC isn't decentralized. It is controlled by the central organization and the government which could dictate and manipulate how many CBDC will be going to circulate and how much it would cost.

So, definitely, CBDC won't be the death of bitcoin. I agree with your statement that it is possible that it could even power the bitcoin because of the easier exchanging process without the need to undergo and let your money be exchanged via different exchanger platforms that oftentimes need KYC. This could be an advantage to those people who want to convert their funds directly with fiat any moment they needed and wanted it. It would be a win-win situation if ever. Let's just hope for the best though and wish the government would be wise enough in setting and laying all the things and strategies needed for their CBDC to be successful without compromising crypto.

People don't need digital fiat which is all controlled by the government. The government will have all the powers to produce more digital dollars just like they print fiat dollar.

With countries bringing their own digital currencies, it will make bitcoin more worthy because then everyone would know how to interact with digital currency and more people will buy bitcoins. No government product can be comparable to a limited supply fully decentralized bitcoins.

You may be right, if America creates a digital dollar backed by real dollars, the process of converting bitcoin and cryptocurrencies into fiat will be much easier, but I expect that there will not be much change because the digital dollar will be like the original dollar will remain under the control of the central government and they can pump the number that They want it and this will lead to inflation and make it worthless in the end in addition to the fact that all transactions will be under the tight control of the government.

No, I don't think that CBDC will be able to make Bitcoin worthless as it lacks blockchains and also makes comparing CBDC with bitcoin useless. 

CBDC is money controlled by the government...

In this world, there are so many people who don't really like government control and it is predicted that the number will continue to grow. Bitcoin is not under the control of the government, so those who struggle to invest in bitcoin will definitely continue to exist and that makes the price of bitcoin to continue and remain high. Bitcoin will never be worthless.

No, it will not happen. But it might be the other way around. It is probably Bitcoin that will make CBDCs worthless. Why should people be using CBDCs when it is going to be inferior to Bitcoin in whatever way you look at it. Both are digital currencies. Both are being used as money. The difference is that CBDCs are directly controlled by governments. People cannot have privacy with it. CBDCs are not protected from inflation either. So there is really no way CBDCs will make Bitcoin worthless. It could be vice-versa though.

It will never make bitcoin or other crypto currencies worthless. The central bank digital currency are just the "digital" version of the fiat currency. Just like stable coins. People will  still hold crypto currencies because it will give them profits in the long run. I doubt those digital currencies will give people any profit for holding. On other hand central bank currencies will be centralized, which means people actually don't own any of the coins. People will know this and they will always prefer decentralized crypto over those centralized bank issue digital currency.

Bitcoin is not anonymous. Google it.

In reality it is the other way around. What has made Bitcoin valuable is that it is a decentralized, autonomous, permissionless alternative to fiat money. CBDCs are a digital version of fiat money, and in that sense they can perhaps give more legitimacy to Bitcoin and cryptocurrencies, as has been pointed out, by normalizing the use of digital currencies. But as CBDCs are going to continue to be the same shit as FIAT, Bitcoin in the long run will continue to appreciate in value, and a lot, making the opposite path to fiat currencies, whose value tends to 0.

Another reason is that the introduction of CBDC will also promote comparison between them and bitcoins (crypto in general). This comparison will directly influence the popularity of bitcoins positively as many will soon come to see that the framework of CBDC's is tailored after that of cryptocurrency with just some few modifications to suit the government. Crypto to many will still be the better choice to many.

CBDC is nothing but a calculated plan by the government to try and deviate peoples attention from crypto but unfortunately it has not worked out as they have planned, nobody is paying attention to cbdc, the news about cbdc ended as quickly as it came, how can such an unknown currency make btc worthless, @op one thing should know about btc is, it makes headlines at any market condition, bull or bear, people, news talk about btc all the time unlike the so-called cbdc.

I don't think of Bitcoin as a threat. The government should not be afraid. They should have made better decisions, not made innovations to fight back.  I would rather crypto, CBDC, and FIat be interconnected and mutually beneficial. They are supposed to provide regulation to be able to regulate even though crypto is decentralized but at least the government still has the power to regulate it. That could be something good. In addition, they can also make crypto as a source of state income through taxes.

Good thing you said Central Bank coin, it's has nothing to do with crypto currencies.
They are still run and controlled by the government so there's no need to for that.
Bitcoin protects your money from banks, government, and gives you a chance for a higher price whenever there's an increase in price. the simply truth is that it won't and can't make bitcoin worthless.

But you can't have both. You can't have a decentralized currency backed by fiat and at the same time have a stable price. It is evident from all the stable coins that have been created so far and they have all been centralized.

People have wise up, there is a distinguish difference between cbdc digital currency and cryptocurrency, that is no difference from fiat currency just that in digital form and also expect the same charges on transactions using digital cbdc as that of fiat banks if not even much, take a look at the exuberant charges on cross boarder transactions fiat places.

It’s not just gossip and stories on forums, CBDC is a reality in many countries in the form of testing, and China has been working on its CBDC perhaps for as long as Bitcoin has existed. China just wants to create as much control over the national currency as possible, and the CBDC is killing any privacy because the authorities have full insight into the finances of every citizen.


Some people who express such views have obviously not yet understood what Bitcoin is, because if they did, they would not be talking such nonsense at all. Bitcoin is a decentralized cryptocurrency independent of central banks, governments or various financial agencies such as the World Bank or the International Monetary Fund. It is insane to think that a central bank product can make Bitcoin obsolete...


Today you have so many stablecoins used to buy/sell cryptocurrencies, has that knocked crypto exchanges out of the game? Don't think that any CBDC will change things, even if you are allowed to buy Bitcoin with such a financial instrument.