They think that once their CBDC is offered to the public, bitcoin will be dead or worthless.
all the powerful people in the current system pretend to ignore that what bitcoin brings is unique, CBDC is just an extension of the fiat currency weakness in the digital world, unlimited monetary inflation and the ever-present power of censorship, and I would even say it's the power of censorship this is even amplified with CBDC.
and worse, it raises big questions about privacy, as a CBDC will allow the government to better monitor every transaction.
Bitcoin will remain a unique monetary system with a zero inflation trend, a limited supply of up to 21 million units, and a programmed monetary policy that separates you from the corruption inherent in humans.
bitcoin is decentralized and leaderless, meaning it belongs to each of its users.
people have not realized this and when it happens for a decade, demand will explode with a limited supply of 21 million units of BTC, the price of Bitcoin will literally explode upon realizing its superiority.
Topic: Will central bank digital currency (CBDC) make bitcoin worthless? - page 3. (Read 369 times)
January 20, 2022, 04:08:59 AM
January 20, 2022, 02:07:14 AM
There have been talks about central bank digital currency (CBDC), a kind of cryptocurrency that is backed by a central bank. Recently, China is rolling out digital yuan, its own version of CBDC (curiously, it's not using blockchain). Even though China is not the first country to have its CBDC, it's the first major economy to do so. Some people argue that CBDC will make bitcoin become obsolete, as in this article:
https://seekingalpha.com/article/4418567-bitcoin-china-launched-digital-yuan-and-will-change-everything
People who support this view fail to realize that, while CBDC has some characteristics of a cryptocurrency, it is still very much a fiat currency. It can be inflated whenever the government wants to. It is not anomymous (one of the features that crypto users prefer). Users of CBDC do not have the freedom as crypto users do. CBDC may be a great contribution to the economy, but it will not replace bitcoin. In fact, I believe that CBDC may even make bitcoin more valuable. Why? Because with CBDC, it's easier to convert bitcoin to CBDC and vice versa, so people who hold bitcoin may not even need to use an exchange to convert their BTC to fiat, and people who want to buy bitcoin can easily do peer-to-peer transaction without using a bank account.
I long for the day when the Federal Reserve issues the digital dollar. It will make conversion between bitcoin and USD even easier, and we may not need to use an exchange service.
What do you think?
https://seekingalpha.com/article/4418567-bitcoin-china-launched-digital-yuan-and-will-change-everything
People who support this view fail to realize that, while CBDC has some characteristics of a cryptocurrency, it is still very much a fiat currency. It can be inflated whenever the government wants to. It is not anomymous (one of the features that crypto users prefer). Users of CBDC do not have the freedom as crypto users do. CBDC may be a great contribution to the economy, but it will not replace bitcoin. In fact, I believe that CBDC may even make bitcoin more valuable. Why? Because with CBDC, it's easier to convert bitcoin to CBDC and vice versa, so people who hold bitcoin may not even need to use an exchange to convert their BTC to fiat, and people who want to buy bitcoin can easily do peer-to-peer transaction without using a bank account.
I long for the day when the Federal Reserve issues the digital dollar. It will make conversion between bitcoin and USD even easier, and we may not need to use an exchange service.
What do you think?
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