may be in the process of banning the cryptocurrency space and using Bitcoin, whose
creation for years has been surrounded by a mysterious mist, as a first step, a
global experiment to study the introduction of crypto.
a goal, they aim to allow the public to gain trust and familiarity with
electronic currencies before crushing private cryptocurrencies altogether, to
afterwards replace them with one government-controlled cryptocurrency.
new currency would utilize a blockchain that is under the complete control of
government and would replace all physical currency. That is, banning physical
dollars and all privately issued cryptocurrencies and then impose a monetary
system that is constituted entirely on electronic money, which is completely
dominated by government authorities.
doing so, it would eliminate the underground economy and allow the currency to
impose any level of negative interest rate it sees appropriate to accomplish
its inflation goals, while also preventing the public from hoarding paper money
in order to escape the loss of its purchasing power. The government would be
able to monitor every transaction on the new currency blockchain under the pretext
of being able to greatly decrease tax evasion, money laundering and
evolution in currency makes perfect sense to governments in their long history
of migrating away from gold-backed money. The primary purpose of government-created
cryptocurrencies will be to push interest rates into negative territory in
order to increase monetary velocity and supply.
the authorities are just studying how cryptocurrencies develop, their
applications and how people respond to them, to afterwards allow the central
banks to take over. It will appear that they regulate nothing and that
everything works alone, without “very bad bankers controlling everything
from the shadows”.