G7 lays out and issues CBDC guidelines. This is another hype for central banks to work together to prevent the crypto future.
Why G7?
G7 or the Group of Seven is a member of the world’s largest IMF advanced economics include Canada, France, Germany, Italy, Japan, United Kindom, and the United States. They control more than 60% of global net wealth. They influence the global economy.
Why CBDC?
CBDC or Central Bank Digital Currency is a solution to prevent crypto future that makes banks obsolete and creates a decentralized system that no longer needs to rely on the global government.
Globalization
In the past decade, we are experiencing the massive globalization of the economy which makes bounders blur and the economy normalize. However, the fairness of trades did not follow by globalization and some benefits largest from globalization and some had been left out.
Global CBDC
G7 is seeking global CBDC as the future solution to the economy. However, it creates complications for global data banks that store many citizens’ information in one organization.
What CBDC cannot achieve
CBDC is just another system of financial data collection reservoir that collects citizens’ financial transactions in real-time. It makes the central bank more power to control its citizens. It does not resolve economic inequality and financial exclusiveness problems.
Crypto is more advanced than CBDC
Crypto moves faster and more efficiently than CBDC. It creates an alternative path of decentralized globalization that brings whoever is left out more closer to the one who benefits from the traditional system.
In conclusion
CBDC will not stop crypto from moving faster and stronger. It can only prove that crypto is necessary for their citizens to have an option to choose from.
