CBDCs Almost HERE! Why This Really Worries Me!

Governments around the world are itching To develop their own Central Bank Digital currencies or cbdcs and today More than 90 percent of all central Banks are working on them not Surprisingly the development of cbdc's Has accelerated during the crypto bear Market over the last few months dozens Of countries have made progress towards Their Collective end goal of total Currency control That's why I'm going to give you a quick Recap of what cbdcs are bring you up to Speed on their development in most Regions and tell you why existing cbdc Projects suggest they will not succeed As the name suggests a central bank Digital currency or cbdc is a digital Currency that's issued by a country's Central Bank There are actually two types of cbdc Wholesale cbdcs which will be used by Select individuals and institutions and Retail cbdcs which will be used by Regular folks like you and me in other Words there will be two cbdc systems one For the people in power and one for the Rest of us The cbdc developments I'll be discussing Today pertain to retail cbdcs this is Because existing research by central Banks about retail cbdc's suggest they Will have some seriously dystopian Qualities these include controlling how

Much you can save how much you can spend And where you can spend it If you watched our video about the Difference between cbdc's and Cryptocurrencies you'll know that the Two are Polar Opposites cbdcs allow the Government to control your money whereas Crypto puts you in control you control How much you save how much you spend and Where and remember the ability to truly Own your assets and decide how they are Used is the real definition of Financial Freedom you could have trillions of Dollars of cbdc in your account but you Will never be truly in control of that Money nor any assets that trade against Cbdc's which will eventually be most of Them As I mentioned in the introduction Almost every single Central Bank is Working on a cbdc of some kind the Reasons why they're developing cbdc's Vary from country to Country for retail Cbdc's the reasons tend to relate to Control for wholesale cbdc's the reasons Tend to relate to convenience and cost As you might have guessed most countries Are focusing on the development of Retail cbdcs this is basically because Their financial systems have become so Unstable that the only way to keep them Intact is by controlling every Transaction in the economy This has been openly admitted to by some

Central banks now if you're wondering Why Financial systems have become so Unstable the short answer is debt and Inflation most governments have massive Debts that they can never pay back their Only option is to erode the value of This debt through inflation by having Central banks keep interest rates Artificially low the problem is that Inflation causes lots of social and Political issues More importantly it erodes The public's Confidence in the currency itself if the Public loses confidence in the currency This risks a foreign currency takeover This is the worst possible outcome from The perspective of the government that's Because if a foreign currency takes over The country becomes dependent on the Country which issues that currency one Example is El Salvador whose National Currency was replaced by the US dollar In 2001. El Salvador's subsequent Adoption of BTC is ultimately an attempt To escape U.S influence now believe it Or not but this is the same motivation For most of the cbdc development around The world countries want to maintain Their monetary sovereignty and don't Want to be forced to adopt the U.S Dollar the Euro or the Yuan nor be Subject to the conditions that come with Adopting a foreign currency this is why Smaller countries have been rushing

Their cbdc development while larger Countries have been taking their time It's also why larger countries are more Interested in using their cbdcs for Other things completely unrelated to Monetary sovereignty such as social and Environmental policies Keep this context in mind as I bring you Up to speed on the cbdc development in Various countries Now what's interesting is that it Appears many countries were considering Issuing a so-called synthetic cbdc Instead of an actual cbdc for those Unfamiliar a synthetic cbdc is Essentially a centralized cryptocurrency Stablecoin controlled by the government With reserves kept at the central bank If you watched our video about Circle You'll know that the company seemed to Be in favor of this synthetic cbdc setup And countries also seemed open to the Idea however this appears to have Changed following the collapse of FTX in November regular cbdc development has Been re-accelerating ever since this Re-acceleration has been apparent in the USA where politicians and Regulators Were considering whether USD stable Coins could play the role of a cbdc for Reference most stable coins are backed By government debt this makes them ideal For subsidizing government spending Which governments obviously like

Although some politicians and Regulators Are still interested in the idea the Aftermath of FTX has turned the focus Back to standard cbdc's in the US of a Case in point the Federal Reserve Bank Of New York announced a brand new cbdc Pilot with major commercial Banks just a Few days after FTX collapsed in December 2022 the Federal Reserve Bank of Boston Completed its own cbdc pilot which had Been conducted with the help of MIT I'll Quickly note that there's been Speculation that algorand will be chosen To host the US cbdc given that the Project's founder is a professor at MIT Well our spells will find out in time In any case in February this year the Federal Reserve Bank of San Francisco Posted a job advert looking for Developers to work on a cbdc pilot a Couple of weeks later a former White House advisor revealed that the current U.S Administration is explicitly pushing For a cbdc and trying to get rid of Crypto Earlier this month the U.S department of The treasury announced it would be Expanding its cbdc research specifically Examining technical issues and public Interest related to both wholesale and Retail cbdcs unfortunately no timelines Were provided on when a digital dollar Will actually be developed that said the Federal Reserve will be releasing its

Fed now fast payment system sometime Between May and July now fast payment Systems are analogous to cbdc systems It's possible that the FED sees similar Cryptocurrency systems such as Silvergates exchange Network as direct Competitors to Fed now North of the Border meanwhile Canada 2 Is examining cbdc's this examination Likewise accelerated last Autumn Stricter crypto regulations have been Introduced as the country's interest in Cbdc's has increased with stable coins Being the latest Target this is probably Because they are seen as direct Competitors to cbdcs and South of the Border the launch of Mexico's digital Peso was delayed in January the digital Peso was expected to be launched in 2024 But has reportedly been delayed due to a Series of legal administrative and Technological issues as you'll see this Is the tip of the iceberg of issues Associated with cbdcs Now in the UK where yours truly hails From the bank of England began accepting Applications for a digital wallet in December last year in January the Boe Began hiring people to develop the Digital pound dubbed britcoin in the Press and offering around sixty thousand Pounds a year as compensation to be head Of the cbdc project well good luck with That

In the weeks that followed Boe officials Made a series of promises to the British Public about the digital pound first They promised that it won't replace cash Then they promised that it won't replace Stable coins people were skeptical Because cbdc reports suggest the Opposite in February and March Boe Officials decided to be honest first They revealed that they plan on limiting Digital pound Holdings to 10 000 GBP per Person then they revealed that a digital Pound could prevent Bank runs Effectively confirming that they plan on Freezing Holdings during times of crisis At the same time banks in the UK started Blocking payments to crypto exchanges Which I'm sure is just a huge Coincidence I dare not imagine what Restrictions they'll place on crypto Investing once the digital pound is Rolled out sometime in 2025. It's a similar story in the EU in December the European Central Bank Published its latest progress report About the digital Euro which we actually Covered in another video if you've seen It you might recall that the ECB decided To let the Commercial Banking sector Handle everything by the issuance of its Cbdc in the months that followed ECB Officials made a series of similar Promises to the European public about The digital Euro first they promised

That it will preserve privacy then they Promised that it won't be programmable Again folks were skeptical because cbdc Reports again suggest the opposite Well I guess we'll find out once the Digital euro is rolled out sometime in 2026 elsewhere in Europe Ukraine has Also been hard at work on its cbdc Despite some rather more pressing Problems the country has managed to Continue the development of its digital Arrhythmia The first draft of its cbdc was Published in late November last year and It likely won't be released until the War is over that hasn't stopped Ukrainian officials from proclaiming That they'll proudly take payment in the Digital herrivnia at the same time the Ukrainian Central Bank has stopped Fiat Transfers to and from cryptocurrency Exchanges even though the crypto Industry has been helping the country Throughout the conflict on that note I Couldn't help but notice that the Ukrainian government recently signed a Deal with BlackRock to rebuild the Country once Putin's military has Finished destroying it whenever that Might be This is concerning because it suggests That the asset manager will force its Lunatic ESG ideology on the war weary Population this would be easy to do

Using a cbdc as the saying goes never Let a good crisis go to waste on the Other side of the battlefield meanwhile The Russian Central Bank has been a Russian to roll out a digital Ruble After months if not years of Deliberation Russia announced it would Be building a cbdc in January and the First pilot is tentatively scheduled for April it's not entirely clear when the Full rollout will occur again Russia has A few other issues on its plate that Arguably take priority what is clear is That Russia is contemplating using Cryptocurrency for international trade This will be bad in the short term but Good in the long term in the same way That it was bad because crypto initially Tended to be used for illicit purposes But good because regular people Eventually began opting it for the Benefits it brings in Asia meanwhile China has been struggling to get its Citizens to adopt its digital Yuan which Launched in January 2022 The digital Yuan hit an arbitrary Milestone of 14 billion dollars of Transactions last October in January This year the digital Yuan became Programmable and was used to buy assets For the first time oddly enough Hong Kong citizens aren't interested in the Digital Yuan the de facto Chinese Province has been pushing forward with

Its own cbdc in fact the most recent Pilot took place in October what's even More odd is that Hong Kong is starting To embrace cryptocurrency offering Institutional access by June I suspect This has something to do with the larger Geopolitical game being played but That's a topic for another time in India Meanwhile The Reserve Bank of India Announced its digital rupee pilot in November completed it in December and Has been in the process of rolling it Out across the country since the start Of this year at the same time the Country has been cracking down on crypto By introducing taxes and contemplating a Ban Next door in Pakistan the State Bank of Pakistan is planning on introducing a Cbdc by 2025. if the actions of its Neighbor are any indicator the end game Will be to have the Pakistani rupee as The only currency available Indonesia Also explicitly said this in December Last year and is in the process of Rolling out its cbdc next door in Singapore the monetary authority of Singapore announced in November that It's working on a retail cbdc with the Federal Reserve Bank of New York and in Japan a retail cbdc pilot will begin Next month the goal is to have a full Rollout by 2026 not sure about Singapore Then in Kazakhstan the National Bank of

Kazakhstan announced in October that it Would be building its cbdc on the BNB Chain and has stuck to its guns despite The subsequent crypto collapse Kazakhstan's cbdc trials began on the BNB chain earlier at the this year and Are expected to run until 2025 when a Full-scale rollout will occur The middle east region has likewise been Accelerating its cbdc development turkey Has taken the lead which is to be Expected given that the country has been Experiencing exponential inflation Turkey completed its first cbdc pilot in December and announced its digital ID Just a few weeks later if you watched Our video about digital ID you'll note That it's required for a full-scale Rollout of cbdcs this is simply because Central banks and governments need to Know who's who so they can give money to Their friends and take money from their Enemies this is literally what will Happen Anyways here in the UAE the Central Bank Announced its cbdc rollout in February The UAE expects to have its cbdc up and Running by 2026. it looks like Saudi Arabia is going to wait and see how that Goes because it's still in the process Of researching cbdc's with no concrete Plans of launching its own This is a much longer timeline than Those found in Latin America with Brazil

Expecting to have its cbdc up and Running by 2024. I honestly haven't seen That many other cbdc announcements Coming out of Latin America in recent Months this could be due to a reporting Barrier or because Mass crypto adoption Is well underway across the continent Fingers crossed is the second meanwhile Australia seems to be open to using Crypto projects to power its cbdc that's Because one of Australia's largest banks Recently leveraged ethereum and algorand To launch an Aussie dollar stable coin The Australian Central Bank is expected To have its first cbdc Pilots finished By mid-year struth So this brings me to the only region I Haven't yet mentioned which is of course Africa I left Africa for last because it Gives us a glimpse into what governments Around the world will do to push their Cbdcs it also provides concrete evidence That these cbdc rollouts will be mostly Unsuccessful now if you look at the Google search trends for cbdc's you'll Notice they went parabolic in December This is because December is when the Nigerian government set limits on cash Use in the country This was done to try and force the Population to adopt its e naira which Was released back in October 2021. to Put things into perspective only 0.05 percent of Nigerian citizens

Adopted the e-nira in its first year Rather than convince them to adopt it The government's move to restrict cash Use only increased the opposition to its Cbdc by February this year adoption had Not increased and cash was in short Supply Rather than concede defeat however the Nigerian government attempted to revamp The e-nira with the help of an American Company just a few days ago the Nigerian Supreme Court struck down the attempt to Redesign the e-nira and stated that cash Use should be allowed until at least December this year Well this was not exactly an admission Of defeat nor an acknowledgment that Nigerians don't want a cbdc it's the Closest its citizens have come to Convincing their government to keep cash In circulation it also foreshadows the Struggles that the citizens of other Countries will have to endure to Preserve their own cash This begs the question of how Governments will convince their citizens To voluntarily adopt their cbdcs one Answer would be to inflate away Fiat Currencies so that cash becomes Worthless but this would cause all the Issues I mentioned earlier another Answer would be to use a crisis of some Kind if you watched our video about Bank Balins you'll know that governments

Could use a collapse of the banking System to roll out cbdcs that's because During the next collapse the assets you Have in the banks will be used to bail Them out the government could simply Give you their cbdc in return as clever As this solution would be it would Probably come with its own set of Problems that's why governments might Opt for a third Solution that's to Slowly squeeze everyone financially Using a combination of higher interest Rates and high inflation They'll then offer their cbdc as a form Of basic income they could program the Cbdc so that it can only be spent on Certain things in certain places and at Certain times so that it doesn't cause Inflation to the point that their Citizens start adopting foreign Currencies there's just one problem with This plan and that's that they don't Have the developers the Boe and the ECB Have both admitted that they're Struggling to hire the right type of Talent well call me crazy but offering a Five-figure salary to create a trillion Dollar digital currency might have Something to do with that anyone who Knows how to build digital currencies Can make much more in cryptocurrency As the larger central banks struggle to Hire the smaller central banks will Continue rolling out their cbdcs and

Show the world just how bad it's going To be consider Iran which has been Freezing the bank accounts of women what Will the Optics be when it does this Using its upcoming cbdc Then there's the issue of credible Neutrality even if most central banks Succeed in rolling out their cbdc's they Won't be comfortable holding or Transacting in foreign cbdcs that can be Frozen at the click of button I think they'll quickly realize that BTC Is the only credibly neutral currency And use it instead same did you know it Will be legal for central banks to hold Crypto on their balance sheets starting January 2025 more about that in the Description and with that thank you so Much for watching like subscribe and Share if you enjoyed the video and I Will see you all next time