By: André Jerusalmy
With the growth of the crypto assets market, especially cryptocurrencies, we see an increase in the governments and entities interest in regulating these assets that currently have no regulation whatsoever.
However, the great attraction of cryptocurrencies, which is precisely their decentralization, is also their biggest problem. Since they have a…
- Unlike cryptocurrencies like bitcoin, a version of the Fed would be issued and guaranteed by the US CB, a government entity, just like coins and dollar bills.
- Increased market for crypto assets, especially cryptocurrencies.
- Interest in these currencies regulation;
- Currency decentralization is good for the “privacy” it creates, and bad for being something extremely volatile that has no regulation, see Elon Musk’s Bitcoin speculation;
Interest from governments in creating their own digital currency, since the increase of “stablecoins”, currencies tied to some index;
- Unlike cryptocurrencies like bitcoin, a version of the Fed would be issued and guaranteed by the US CB, a government entity, just like coins and dollar bills.
- Republican Senator Tom Emmer has introduced a bill that would prohibit the Fed from issuing so-called central bank digital currency, or CBDC, directly to Americans;
- According to the Republican congressman, a digital dollar should aim to protect financial privacy, maintain dominance of the country’s fiat currency, and encourage innovation;
The justification for the senator’s bill is that centralized digital currency leaves Americans’ financial information vulnerable to attacks, and can also be used as “a surveillance tool that Americans should never be forced to tolerate from their own government.”