⛔️What is the need for CBDC for large states and what are the downsides they are silent about.
CBDC is an attempt by states to *create an 'official' alternative to cryptocurrencies*, but with full government control.
Here are the downsides:
1. *Loss of privacy*
— Central banks can see all your transactions, unlike cash or cryptocurrencies.
2. *Risks of digital control*
— The possibility of freezing accounts, spending limits, or even a 'expiration date' for money (as discussed in China).
3. *Threat to commercial banks*
— If people switch to CBDC en masse, it could weaken the role of traditional banks.
4. *Cyber threats*
— Digital platforms are susceptible to hacking, failures, or outages.
For such a thing to happen, something terrible must occur in the world; it’s even hard to think about. What are your opinions, comrades?#FamaNews