Experts appreciated the statement of former CIA officer Edward Snowden, in which he criticized the digital currencies of central banks and called them “the newest danger that hangs over society”
Former CIA officer Edward Snowden called the digital currencies of central banks (CBDC) “the newest danger that hangs over society.” According to Snowden, such digital currencies distort the very nature of cryptocurrencies, since they deprive users of ownership of their money. Also, an ex-CIA officer called CBDC a “crypto-fascist currency.” Experts of RBC-Crypto explained why Snowden spoke sharply about the digital currencies of central banks.
The only reason why regulators in many countries have begun to develop their own controlled digital currencies is an attempt to have time to occupy a free niche in the impending financial revolution, according to a senior analyst Bestchange.ru Nikita Zuborev. According to him, central banks are also trying to parasitize the positive image of cryptocurrencies.
“CBDC and any other manifestations of centralized digital currencies (for example, Ripple) distort the very idea of cryptocurrencies – complete economic freedom,” the analyst noted.
According to Zuborev, from a technological point of view, there is no need for digital currencies of central banks, since they perform the function of non-cash bank payments. But, government agencies in most countries understand that they must create an “alternative” to bitcoin, the analyst added.
Created for control
Digital currencies of central banks can and will be used to control citizens and their funds, the financial analyst of the crypto exchange believes Currency.com Mikhail Karkhalev. According to him, technology is a powerful tool in the arsenal of any government, which they will certainly use if necessary.
The analyst explained that some countries are trying to restrict private cryptocurrencies because they compete with CBDC. There is more trust in private cryptocurrencies than in public ones, since the emergence of digital assets is precisely due to distrust of the centralized financial system, Karhalev noted.
In the future, digital currencies of central banks will inevitably actively compete with private cryptocurrencies, Zuborev is sure. In his opinion, it is private cryptocurrencies that will be defeated in the war of digital assets, since states have much more opportunities and resources to limit them.
“In the future, in countries with their own CBDC, private cryptocurrencies will have the same separatist and marginal status as in 2009-2014,” the analyst predicted.
Zuborev called the issuance of digital currencies by central banks an attempt to preserve the modern international monetary system.