- So, CBDC, which is the Central Bank Digital Currency, is the one that is poised to give politicians unprecedented power to just track the particular data.
- This is also something that promises elevated stability, efficiency, security, and reduced corruption. Central banks are considered the International Monetary Fund, and the World Economic Forum is just waiting to cure all that ails the entire financial system.
The Data Trail For Political Oppression
Here, people should know that an electrical legal tender directly issued by central banks to a particular digital wallet, CBDC, is not anonymous. Some clients have gone through identification processes and are matching the ones that are currently imposed by different commercial banks.
Also, the design instances may always vary in detail, but on the other side, either commercial banks or the central bank, or sometimes both, will be privy to always knowing who ultimately holds the digitally issued fiat currency.
This is also the system that will enable central banks to assemble a ledger containing every citizen’s financial transactions, from cradle to deathbed. Different public health services might monitor alcohol and cigarette purchases, along with lifestyle choices for adapting to different insurance premiums.
Some Restrictions And Programmability
Now, it is a fact that the retail CBDC is nothing but the electronic cash held at the central bank, which will fundamentally change our legal ties to ‘our’ money. With CBDC, people will only be the proprietors of the digital cash. Also, people will never be the holders of that money, as it will be held in the name of the central bank. Also, people need to make sure that they will no longer be able to pull a banknote from a particular wallet and later hand it over to whomever they want.Â
It should be ensured that even conceivable CBDCs could always be used to impose curfews or place different kinds of people under house arrest. Also, on a keystroke and in real-time, CBDCs could always be programmed to function only between 6 a.m. and 6 p.m.
Effectively, Joe Biden, President of the United States, could always use a CBDC regime if he wants to prevent the Donald Trump rally from taking place. On the other side, Donald could also prevent the Bernie Sanders assembly from happening.
Conclusion
Lastly, people need to make sure governments can further impose special taxes, directly access digital wallets or force loans. And, on the other side, financial autonomy would always erode under a CBDC regime.
Also, people need to think of the worst possible governments and reflect on whether they will misuse their power over CBDCs or not.
