CBDC: road to slavery?
Let’s take a step back: what is a CBDC (Central Bank Digital Currency)? It is the digital version of cash that is issued and regulated by the central bank of a given country. It is legal tender and is guaranteed by the issuing central bank, therefore endowed with the same guarantees as the physical currency in circulation. Rulers say the CBDC is to “ensure financial stability”.
In my opinion it was designed because it combines the rulers’ desire for control (strong limitation of cash and push towards digital payments to dominate the citizens) and to severely limit the rise and use of Bitcoin and cryptocurrencies in general (because they can’t control them). One thing I want to emphasize: CBDCs are not cryptocurrencies. They are often confused or mixed with each other.
Returning to the PDF of the Bank of England, on page 80 it can be read clearly:
The Bank would place some limits on holdings of digital pounds, at least during its introductory period. An individual limit of between £10,000 and £20,000 is proposed.
We judge that a limit of between £10,000 and £20,000 per individual is likely to strike an appropriate balance between managing risks and supporting wide usability of the digital pound.
These CBDCs are disturbing. If one day a bureaucrat in your country decides by clicking a button to severely limit or even cancel your withdrawals because you have not been a good citizen, you have not paid your taxes correctly, you have expressed dissent towards the government, you have a different political opinion than the mainstream one or you are not up to date with all your vaccinations, how would you react? To avoid all this, I’m buying Bitcoin to not be blackmailed by anyone. I choose Bitcoin because it was born decentralized by nature, has no bosses and doesn’t take orders from anyone.
The European Central Bank is exploring possible scenarios for the launch of a digital Euro and has decided to launch a CBDC project with an investigation phase that will last from October 2021 to October 2023.
In the US, the Boston Federal Reserve and technical experts from the Massachusetts Institute of Technology (MIT) are collaborating on the project of a digital dollar.
One of the first countries to adopt the CBDC was Nigeria (eNaira) in use since October 2021. We can see the terrible results today.
If CBDCs catch on, you may see these scenes on the streets of your city. Last December, the central bank of Nigeria limited daily ATM withdrawals to NGN 100,000 for individuals and NGN 500,000 for corporate organizations. Scarcity of cash has prompted many Nigerians to buy Bitcoin as its purchase price skyrocketed to nearly $38,000.
I hope this article can help you make the right decisions for your future.
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