• Senator Ted Cruz opposes the issuance of Central Bank Digital Currencies (CBDCs) as he believes they will destroy bitcoin and its anonymity.
• Joe Biden has issued an executive order directing the Federal Reserve to study creating a CBDC, and the New York branch of the Fed is working on doing exactly that.
• Senator Cruz thinks CBDCs are dangerous as they would give rise to governmental power, allowing regulators to spy on people’s activities and potentially get in the way anytime they wanted.
Senator Ted Cruz Opposes CBDCs
Republican Senator from Texas Ted Cruz says he doesn’t want a digital dollar or any central bank digital currencies (CBDCs) entering the fray. He believes they’ll bring about an end to bitcoin, a cryptocurrency he has a lot of respect and admiration for. In a recent statement, Cruz said “We see China moving forward with the intention of using a CBDC to destroy all value of bitcoin, to destroy anonymity, to destroy decentralization”. He is confident that a CBDC used nationally by everyone would make bitcoin less unique, causing it become obsolete.
Joe Biden Directs Federal Reserve To Study Creating A CBDC
Joe Biden has issued an executive order directing the Federal Reserve to study creating a CBDC, and the New York branch of the Fed is working on doing exactly that. These currencies would destroy all that the first cryptocurrencies stood for and bring about an end to the crypto industry as we know it. In addition, CBDCs would likely give rise to a new wave of governmental power. Regulators around the world would be able to spy on us and see what we were using our money for. They could look in on our activities and potentially get in the way anytime they wanted.
Cruz Thinks CBDCs Are Dangerous
Cruz thinks CBDCs are wrong for a modern and free world. When discussing how a CBDC could be used against people through government protocols, he stated: “I think that’s exceptionally dangerous” adding “I’m very concerned about the risk of a CBDC“. He is also very confident that these currencies will undermine all notions initially set by Bitcoin such as decentralization and anonymity making them null void if introduced nationally by everyone..
Risk Of Governmental Power Increases With Introduction Of A CDBC
With central banks in control over these currencies individuals across globe won’t have access products services offered traditionally but rather only those authorized by these banks . If this happens it will lead increased governmental power giving them ability spy into individuals activities whenever they want without their consent or knowledge .
In conclusion , Senator Ted Cruz stands firmly against introduction Central Bank Digital Currencies . He believes this technology is dangerous with potential create centralized financial system controlled governments which can easily lead destruction cryptocurrency industry as knows it today .