Popular macro analyst Lyn Alden spoke about the economic environment in which CBDCs are increasingly being adopted. Alden, central bank digital currencies (CBDCHe stated that he was not very positive about it.
Participating in a new interview with David Lin Lynn AldenCBDCs are of the opinion that they give authorities “extraordinary control” over end users.
Obviously the downside of CBDCs is that you centralize everyone’s use of the public ledger.
According to Alden, this means that the public has very strong control. As a result, it will be possible to monitor, freeze funds and do them systematically. He also stated that if the control of public institutions increases enough, financial decisions based on individual activities will increase. For example, it is even possible that a situation such as “interest” depending on age and activity will arise.
Alden cited the system in China as an example and underlined how bad it could be.
For example, they can tie your social credit score to your money and basically try to control society on a much finer level than we’re normally used to.
NEWS CONTINUES BELOWI think we have a decades-long trend towards more and more financial surveillance and control, and Central Bank Digital Currencies represent the endgame scenario for that. So I don’t feel generally positive about CBDCs…
The macro guru also explained that he understands why governments are interested in a central bank digital currency but remains focused on Bitcoin.
In some cases, I can understand why they would want to use them. What I prefer to focus on is building some of these open source alternatives right.
Against CBDCs in many cases bitcoin I prefer things like As long as you have the keys, no one can take it, and it doesn’t matter where you are.
According to Alden, the choice in the future will be between centralized and decentralized forms of money. You can watch the entire interview in the video below (in English).
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