It will be successful, I do believe that. It's not like many of Americans are still using literally cash, most are using credit and debit cards so when it comes digital, it will be more like an upgrade again.
Is it a threat to Bitcoin? No, so does any fiat that is change to digital.
It goes back to the sample of credit and debit cards. They exist and yet investors are buying Bitcoin. It's not really because of usage but more like preparing for the future.
Topic: Will digital dollar be a threat to bitcoin? - page 9. (Read 2614 times)
Just remember, digital dollars/CBDC= fiat 2.0, so it's really hard to see it being a threat to Bitcoin, IMHO. Bitcoin is a true global currency, wherein the digital dollars/CBDC will be a more a nation thing with some international reach. Gotta worry more about the gov't being a threat than the digital dollar; who knows, maybe it's one of their tools to backdoor Bitcoin?
It is clear that some countries today have plans for the creation of digital currencies. That's because they are concerned about the development and flow of crypto currency. They are afraid of being challenged and are powerless to stop it. CBDC dollars are also a digital currency with full state control and will probably be the same as you say. But the digital dollar will also need a process of recognition. That's what's a regulatory advantage.
Maybe CBDC will be recognized as a legitimate transaction tool, and that's what makes BTC a little weak. But I think as long as the consensus of trust in crypto is there, we don't need to worry. I think crypto is just about to start.
It will all depend on the returns that Bitcoin and digital dollar will give. Digital dollar is more like a stablecoin which is suitable for risk averse individuals.
A digital dollar is a stablecoin. There is no question of return coming for that, but to be used only as a stablecoin or just like anoher fiat money payment mode.If Proof of work miners are prohibited they will move to other countries. There are bypasses to such problems and mining would not stop. Again a CBDC will not change the entire scenario immediately. There will be gradual change in the people's minds and then the coin might see some movement. Whether people use the CBDC or crypto will come to picture only then.
The only short term threat regarding the digital dollar would be banning Proof-of-work blockchains and mining in the United States.
The Bitcoin miners will have to move to another country. There will be short term drops of the mining hashrate and that's all.
The digital dollar would be a bigger threat for the fiat banks rather than Bitcoin. CBDCs are designed to give more power to the central banks and I'm sure that this will make the private banks obsolete in the distant future. In the short term, private banks cannot be destroyed, because there's no new system that can replace the current fiat lending system.
Maybe PoW coins will be banned completely from all crypto exchanges in the future. Who knows?
The Bitcoin miners will have to move to another country. There will be short term drops of the mining hashrate and that's all.
The digital dollar would be a bigger threat for the fiat banks rather than Bitcoin. CBDCs are designed to give more power to the central banks and I'm sure that this will make the private banks obsolete in the distant future. In the short term, private banks cannot be destroyed, because there's no new system that can replace the current fiat lending system.
Maybe PoW coins will be banned completely from all crypto exchanges in the future. Who knows?
I don't understand any connection to digital dollar issuance and POW blockchains and mining, POW will only be affected by energy related issues.
CBDC or digital dollars are really just an upgrade of fiat to a digital version, so they will support banking or fiat money in the future. They are basically brothers, not rivals. CBDC would be a danger to stablecoins, as money printing should be managed by governments, not by private companies. The stablecoin is irritating government institutions, who feel their power is waning because of the unregulated operation of the stablecoin.
Well I personally use 3 biggest usd pegged stable coins right now (BUSD, USDT and USDC) but purpose for me to use them is completely different. I convert Turkish lira to USD over these coins. So Digital Dollar would only make things easier. Compared to my dollar demand, I buy Bitcoin to do conversions to altcoins, or to hodl, or to short term trade etc. People should stop comparing stable coins to Bitcoin.
The only short term threat regarding the digital dollar would be banning Proof-of-work blockchains and mining in the United States.
The Bitcoin miners will have to move to another country. There will be short term drops of the mining hashrate and that's all.
The digital dollar would be a bigger threat for the fiat banks rather than Bitcoin. CBDCs are designed to give more power to the central banks and I'm sure that this will make the private banks obsolete in the distant future. In the short term, private banks cannot be destroyed, because there's no new system that can replace the current fiat lending system.
Maybe PoW coins will be banned completely from all crypto exchanges in the future. Who knows?
The Bitcoin miners will have to move to another country. There will be short term drops of the mining hashrate and that's all.
The digital dollar would be a bigger threat for the fiat banks rather than Bitcoin. CBDCs are designed to give more power to the central banks and I'm sure that this will make the private banks obsolete in the distant future. In the short term, private banks cannot be destroyed, because there's no new system that can replace the current fiat lending system.
Maybe PoW coins will be banned completely from all crypto exchanges in the future. Who knows?
Just remember, digital dollars/CBDC= fiat 2.0, so it's really hard to see it being a threat to Bitcoin, IMHO. Bitcoin is a true global currency, wherein the digital dollars/CBDC will be a more a nation thing with some international reach. Gotta worry more about the gov't being a threat than the digital dollar; who knows, maybe it's one of their tools to backdoor Bitcoin?
Digital dollar will not be a thread for Bitcoin.
It is similar to stable coins that are abundant in crypto market but it has a big different characteristic. It is built, launched and managed by central banks and governments. It won't be collapsed like UST from Terra and it is advantage of governmental digital dollar.
Growth of digital dollar and CBDCs will result in more and stricter solutions from governments in regulations, law enforcements in order to control stable coins as well as reduce effects of stable coins. They will do all these to get as much benefit as possible for their CBDCs.
It is similar to stable coins that are abundant in crypto market but it has a big different characteristic. It is built, launched and managed by central banks and governments. It won't be collapsed like UST from Terra and it is advantage of governmental digital dollar.
Growth of digital dollar and CBDCs will result in more and stricter solutions from governments in regulations, law enforcements in order to control stable coins as well as reduce effects of stable coins. They will do all these to get as much benefit as possible for their CBDCs.
The digital dollar wouldn't be a threat to bitcoin the same way how the USD in it's current state isn't a threat to bitcoin.
Regulations concerning PoW mining is a different topic though. If the authorities became a lot more strict, it's safe to assume that we'd expect a temporary sell off; but in the end it would still probably be a nothingburger in the long term.
Regulations concerning PoW mining is a different topic though. If the authorities became a lot more strict, it's safe to assume that we'd expect a temporary sell off; but in the end it would still probably be a nothingburger in the long term.
Most economic activity in the US is already digital. I don't know how an official diftal currency would look like. Would it only be used for settlements or will people be buying their coffee with it? It won't be a threat to bitcoin regardless. There will always be a need for something that is permissionless and censorship-resistant.
I came across this on the news today, and I wonder if this will be a challenge to the growth of crypto in the united states with the government beginning to consider the digital dollar.
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
Quote
The White House is particularly targeting the proof-of-work transaction-validation process used by many blockchains, including bitcoin. This mechanism consumes huge amounts of energy because it requires a lot of computing power.
And with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue
Read hereAnd with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
They are saying they are following China's model?
The use of BTC will be threatened as this digital dollar may just be used and adopted faster than BTC. That is just it but BTC will still be preferred by most as an asset. The energy fud has been around for years but it's not going to make BTC vow to this fud.
But USD is also threatened these days since more countries today are avoiding the dollar use because of Russia-China transactions.
Digital dollars or any CBDC coin will not affect or threaten bitcoin. Simply because their essence is still the original fiat only converted to digital, still government-administered, still issued without limits, and will lose value over time. Actually, I don't see a difference between fiat and CBDC.
With the development of technology as well as the digitization of everything today, upgrading fiat to digital is inevitable. The goal is not that it will compete with bitcoin but the goal is to bring convenience to people as well as greater control for governments.
With the development of technology as well as the digitization of everything today, upgrading fiat to digital is inevitable. The goal is not that it will compete with bitcoin but the goal is to bring convenience to people as well as greater control for governments.
I came across this on the news today, and I wonder if this will be a challenge to the growth of crypto in the united states with the government beginning to consider the digital dollar.
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
I don't believe this will start the loss for Bitcoin.Various countries such as China have previously banned Bitcoin and brought their currencies to the market, but this did not harm Bitcoin.From there we were able to prove that no currency can actually be a loss for Bitcoin.If there is a system to convert the digital dollar to Bitcoin, Bitcoin will definitely be stronger. Quote
The White House is particularly targeting the proof-of-work transaction-validation process used by many blockchains, including bitcoin. This mechanism consumes huge amounts of energy because it requires a lot of computing power.
And with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue
Read hereAnd with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
I really do not think digital dollar would be a threat to Bitcoin. Bitcoin is seen as a store of value while some see it as digital gold. Digital dollar can stand as a means of transacting with Bitcoin for value but can not in any way effect or compete with Bitcoin. Bitcoin has already been in existence before digital dollar and come to talk of it, digital dollar is just currency to complement the fiat. So therefore I see no reason it Should be a threat to Bitcoin.
a CBDC is not going to change over night..
just like taking old design bank notes out of circulation.. for a period of time they have both forms running both accepted as legal tender and slowly when old money is handed into banks new money is handed out. and old money doesnt return to circulation
most people spend their months salary within that same month. thus it wouldnt take decades to transition just like it doesnt take decades to take old bank notes out of circulation
the UK is going to be an example of how fast old (queen face) bank notes will be taken out of circulation
other methods they could employ
initially i can see how US could offer CBDC at a good + interest rate where people can "save" CBDC and earn interest on it while "saving" old fiat will go into negative interest. if they hand in/convert their normal fiat dollar to claim new CBDC then they wont lose value. . and then after some time just take old notes out of circulation. and the transition is complete
just like taking old design bank notes out of circulation.. for a period of time they have both forms running both accepted as legal tender and slowly when old money is handed into banks new money is handed out. and old money doesnt return to circulation
most people spend their months salary within that same month. thus it wouldnt take decades to transition just like it doesnt take decades to take old bank notes out of circulation
the UK is going to be an example of how fast old (queen face) bank notes will be taken out of circulation
other methods they could employ
initially i can see how US could offer CBDC at a good + interest rate where people can "save" CBDC and earn interest on it while "saving" old fiat will go into negative interest. if they hand in/convert their normal fiat dollar to claim new CBDC then they wont lose value. . and then after some time just take old notes out of circulation. and the transition is complete
The digital dollar you are saying about is the CBDC which is already in existence in many countries, including China that you mentioned. I want to note that your caption is wrong or doesn't correlate with the body. The real question would have been "Will digital dollar be a threat to stable coins like USDT".
Bitcoin is in different class as it is not centralized, unlike some stable coins and the alleged digital dollar. Then, to answer your question, there'll be no difference between fiat dollar and digital dollar. So, since fiat dollar doesn't affect Bitcoin, the digital version will not also. The innovation will encourage many to learn about cryptocurrency, it is an advantage.
Bitcoin is in different class as it is not centralized, unlike some stable coins and the alleged digital dollar. Then, to answer your question, there'll be no difference between fiat dollar and digital dollar. So, since fiat dollar doesn't affect Bitcoin, the digital version will not also. The innovation will encourage many to learn about cryptocurrency, it is an advantage.
You are asking two questions, one in the title and one in the thread. Addressing the latter first;
People use Bitcoin for a couple of reasons;
• As a global currency,
• For privacy,
• For freedom,
• As an asset and/or hedge fund,
• As a speculative asset, etc.
A CBDC would not fill this and attract those users to hold them instead.
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
Yes, it's a possibility. Digital exposure is quite high in the U.S, and having an extra layer on that using the block chain could definitely be successful. It could create a cheaper and faster way to transact using the USD, than what is available today, while giving the government more control of transactions.Quote
Will digital dollar be a threat to bitcoin?
Is the regular dollar a threat to Bitcoin? It isn't, so a digital version, or more specifically a blockchain version would not be any different.People use Bitcoin for a couple of reasons;
• As a global currency,
• For privacy,
• For freedom,
• As an asset and/or hedge fund,
• As a speculative asset, etc.
A CBDC would not fill this and attract those users to hold them instead.
Digital dollar is not a threat to bitcoin, no. Digital dollar is just a stablecoin, a shitcoin. It’s the same as the regular USD, they will be able to track everything you spend. They will be able to see what you like buying, where you eat, where you hang out. It’s full on communism, straight out of China.
Bitcoin is so much better in all ways. There’s a fixed supply, you can buy what you want & nobody can stop you. Your money won’t be eaten by inflation. You can transact P2P without government surveillance.
Buy bitcoin!
Bitcoin is so much better in all ways. There’s a fixed supply, you can buy what you want & nobody can stop you. Your money won’t be eaten by inflation. You can transact P2P without government surveillance.
Buy bitcoin!
Do you think with the level of civilization in the united states, that the digital dollar will be successful?
Understand this fact, USD CBDC may be successfully launched and nothing can stop that fine and good but bitcoin can never admit CBDC as a threat just as a dog cannot be a threat to the lion same is how CBDC can never be a threat to bitcoin, cbdc is not a cryptocurrency but rather a digital version of fiat currency, what the people want ks bitcoin and are achieving their results in adopting it, i believe a large number of US citizens are benefiting the use of bitcoin using peer to peer without having a role from centralized banks or exchanges, both CBDC and bitcoin may exist together but the people understand what they want and go for it.
I don't believe this is a threat to Bitcoin. Nothing happened when China banned Bitcoin and launch its digital currency. Rather it would be easier to convert into fiat once the exchange adds digital dollar or fiat. Then we don't need to run for paper money. And the blame for energy consumption isn't new anything.
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