Here are scenarios to entice people to switch to digital only payment: 1. We want to catch the robber Barron's who don't pay their fair share of taxes. Money is used by drug cartels. We will be able to stop them. 2. The cost of production, maintenance and security of currency is millions a year, money that could be better allocated to schools and hospitals 3. Today 95% of your transactions are made by card or phone app. The switch will be even more convenient.
That's why people in Europe are not panicking because they still have autonomy over their own financial management. Digital currency that's going to be launched by the Chinese government as the sole legal tender takes away that autonomy and that's why people are against it. That's my point.
That's the law enforcement's job, not a currency's job. That's a sunk cost just like the cost that you have to spend to eat. Are you going to stop eating just because it cost money? And if you really want to allocate more funds to schools and hospitals, there are other far more effective ways like stopping corruption at every single level of the government? If 95% of the transactions are already made on cards or phone apps then why is there a need to switch? We are already on digital currency. All non-invalid and bs scenarios. The only reason for this digital currency is one purpose and one purpose only: Control. Control of the Chinese people and the world.
You didn't read the article. China is experimenting, no decisions about anything. They're talking about using private consumer facing platforms as one of many options. Their dictatorial system leads to fewer freedoms, not the tech or the removal of currency. Plenty of Chinese would be happy to see executives or government officials unable to skip the country with stolen millions...
Yeah testing for now, I know. But that's just testing for eventual launch. China WILL launch this draconian digital currency that's an eventuality. It's designed to achieve the ultimate goal that the Chinese government wants to achieve: Control of the world. If the corrupt officials want to skip the country with stolen billions, they will still do so, digital currency or no digital currency. This digital currency is created by the Chinese government. You don't think they will create some kind of "backdoor" to benefit high officials of the Chinese government in some way? In countries like China, the government is never at the same level as the people; they are always above the people. They are never the public servants like in the West; they are the public boss. This digital currency is created to control the Chinese people and the people in the rest of the world, not the Chinese government itself. Make no mistake about it.
there was the Comecon trading bloc for those Eastern communist countries. it was an alternative trading system that competed with the Western trading bloc. Taiwan proxy war must be held on to prevent China from creating a new sphere of influence.
You're mixing too many things... 1. Digital currency: it's a system that democracies and dictatorships will use. No, there will be no way for corrupt officials and corporate executives to flee with digital currency unless it is hacked (which it will be until it becomes very difficult to do). In a dictatorship, government can do whatever it wants to do, give and take, and doesn't need a backdoor. 2. As we agree, China is a dictatorship and government serves the people as they see fit, like all dictatorships. Ask Russians, North Korean, Cubans, Venezuelans, Saudis, Iranian and so many other dictatorships of all political or religious spectrums. All they have in common is a desire for strict order. Chinese culture itself is highly hierarchical. From the lowest to the highest level of society there's a hierarchy that cannot be disrespected unless one has the skills, guts, character and/or support to challenge the next level of authority. Chinese people are known to protest and risk their lives to challenge the system, like in Hong Kong and many other regions of China, but most Chinese support their government for having taken them out of 18th century poverty and brought them to 21st century comfort and consumption. Yes, the Chinese communist party is obsessed with control. As a nation, China is very young and came to be thanks to the CCP. It is fighting internally to preserve its unity, it is fighting politically to validate the communist ideology, it is fighting internationally to be recognized as a leading superpower. Like all leading powers before them, they don't plead to sit at the big table, they demand. We westerners have only every seen westerners lead and direct and decide for all how things shall be. The Chinese are telling us that era is over and frankly, I don't disagree with the premise. We western powers need to make room for China, not as a minority consolation prize, but as a nation that has demonstrated their capabilities and their ability to challenge any nation. In turn, they need to learn what the democratic process is, what diversity of ideas means and what groups of nations have already established as various fundamental rights. I'm convinced the Chinese people are eager to learn, just not under threat or punishment for questioning what is established.
Yes a backdoor, for its own officials. You will see. It will be developed. Correction: China is a dictatorship and government rules the people as they see fit, not serves. I do not see the reason nor the relevance of you bringing up other countries when we are talking about China here. Just because there are other dictatorial regimes in the world so it's ok for China to be one also?? See my previous point above. Yeah sabotaging the government in power to seize the throne for itself. Honestly everything that the CCP claims the credit for, other governments could've achieved it too if the CCP hadn't sabotaged it on purpose. No government will be successful if the opposition is constantly sabotaging it and never giving it a chance to do anything which is what the CCP did to the nationalists. So I tend to halve the credit the CCP claims for "changing" China. Instead of focusing on fighting internationally to be recognized as a leading superpower, how about focusing on respecting the human rights and freedom of the Chinese people, even the ones who disagree with the government? LOL Once the world sees how well China treats its own people, the world will automatically see China differently. Of course China cannot see that. It just becomes paranoid in its own misguided and bloated nationalism.
Meanwhile Europe is one step closer to the integration of an official central bank digital currency (CBDC). Currently, the Bank of France (BoF), the Bank for International Settlements (BIS), and the Swiss National Bank (SNB) have concluded a very crucial set of studies and tests on the wholesale usage of a CBDC- a series of international settlements were conducted between financial institutions. China is hardly the only country that has plans for a CBDC. As to Libra, I am starting to doubt that will ever launch.