For everyone looking forward to the US CBDC to destroy bitcoin and cryptos

Discussion in 'Crypto Assets' started by johnarb, Sep 19, 2021.

  1. johnarb


    Here's a good video outlining the challenges of the Fedcoin destroyer of bitcoin :D

    Below was my inarticulate take on CBDC

    Last edited: Sep 19, 2021
  2. Good1


    Who would mine that coin?
  3. johnarb


    I don't think it will be a mineable coin. It's a centralized coin so the Fed will just increase the circulating supplies as needed

    China is already experimenting with their CBDC

    I'm guessing any USD that would come from the USG would be using CBDC (i.e. Stimulus checks, IRS refund, etc) and any USD due to the Federal government would be payable in CBDC/Fedcoin, i.e. taxes

    My question would be if I have $100K in the bank, what would entice me to convert it to the CBDC wallet? Maybe an interest APR equivalent to the CPI, but that could drain a lot of the savings account balances held in traditional banks and may cause a banking crisis? I'm not an expert

    And CBDC, even if they give a high APR, does not sound like it's worth it, if total government surveillance or "social score" is part of the package. Imagine going to the strip club and making it rain, only to find out you're punished the next day and your account is suspended for 2 weeks, lol

    Or how about you buy cigarettes and liquor and lottery tickets a little too much and trigger a monthly threshold that you won't be able to use any more CBDC's on those categories and can only use for groceries and restaurants for the next month

    Consuming too much environmental wasteful products such as purchasing a monster truck and now your ESG score needs to be lowered before you can purchase on non-compliant ESG goods and services?

    More and more the current USD that we have sounds much better than the future US CBDC
    322170, Trader Curt and Clubber Lang like this.
  4. destriero


    Nobody uses crypto for POS. Sure, stablecoins would be rendered moot but it only enhances the allure of crypto as an asset.
    johnarb likes this.
  5. maxinger


    go ahead and destroy the bitcoins and cryptos.

    it doesn't matter much to the traders.
    just look at the micro BTC futures.
    the volume is still very minute.
  6. MrMuppet


    This is the second time you're stating this. I wonder why anybody would pay attention to CME crypto futures? They are a dead product and will always be.
    Anyone who's serious about derivatives trades crypto native derivatives. Better margining, better risk management, automated margin calls, superior products.

    It's probably nice for US - retail since those guys can't trade crypto native derivatives, but their volume is miniscule. The big boys trade through offshore entities.

    So if you want to have a look at futures activity, look at FTX, Kraken, Binance and for options check out Deribit.

    CME, BAKKT, etc. is all dead meat in this market
    johnarb likes this.
  7. jocrape


    @johnarb It cracks me up how the government believes that these centralized digital currencies will solve the problems imposed by bitcoin by replicating the features of conventional financial systems. Why would we choose one form of centralized currency over the other form of centralized currency?
    johnarb and MrMuppet like this.
  8. MrMuppet


    exactly right
    johnarb and jocrape like this.
  9. koczeau


    @jocrape doesn't make any sense to me as well, A CBDC for what? Tell me why I shifted from fiat to Crypto in the first place, to make sure my information and transactions are secured and unreachable to a third party or a centralised body. A CBDC is exactly the opposite of what cryptocurrency means to people. And they blindly believe they are going to destroy BTC and other cryptos. Unbelievable!
    johnarb likes this.
  10. johnarb



    #10     Oct 13, 2021