MicroStrategy CEO Michael Saylor Predicts Banking Establishment Will Oppose CBDCs and Stablecoins Face Wind Down
Michael Saylor, CEO of MicroStrategy and a well-known Bitcoin advocate, believes that central bank digital currencies (CBDCs) will face significant opposition from the current banking establishment. Saylor predicts that the introduction of a CBDC would disintermediate all banks, starting with the big banks and trickling down to smaller ones, thereby disrupting the prominent role of banks in the financial sector. Additionally, Saylor foresees a bleak future for USD-backed stablecoins, as regulators will likely clamp down on any non-KYC digital dollars.
US Presidential Election 2024: Impact on Cryptocurrency
The upcoming 2024 US presidential election may have an impact on the next crypto bull run, as several politicians have expressed interest in running for the position. Current President Joe Biden has taken an anti-crypto stance, while former President Donald Trump is also vying for the job. Other candidates, including Ron DeSantis, Vivek Ramaswamy, and Robert F. Kennedy Jr., have expressed their views on crypto.
Ron DeSantis, Republican Presidential Contender, Voices Support for Cryptocurrency and Opposition to CBDCs
Ron DeSantis, a potential candidate for the U.S. presidency and a Republican Party leader, has expressed support for cryptocurrency and views it as a matter of civil liberties.
Florida Becomes First State to Reject Central Bank Digital Currencies
Florida Governor Ron DeSantis has made headlines for his opposition to Central Bank Digital Currencies (CBDCs) in the United States. Florida has become the first state to pass legislation banning the use and issuance of CBDCs, with Governor DeSantis citing concerns over potential surveillance and control by the federal government. In a recent Twitter Spaces discussion, Governor DeSantis warned of the impact of CBDCs on financial freedom and privacy, echoing concerns from the cryptocurrency community. The legislative action in Florida highlights the tension between centralized and decentralized financial systems and raises questions about the future of digital currencies in the United States.
Ripple Is Currently Demonstrating the Use Case for Its Platform Under the E-HKD Pilot Program
Ripple has launched a platform for central banks, governments, and financial institutions to issue their own digital currency. The platform allows for the management and customization of the entire life cycle of the CBDC, including minting, distribution, redemption, and token burning. Both wholesale and retail CBDCs can be issued, and offline transactions are possible.
G7 Nations Explore CBDCs For A Stable Global Financial System
The G7 committee, consisting of the US, the UK, Canada, Germany, Italy, France, and Japan, recently discussed the potential role of Central Bank Digital Currencies (CBDCs) in promoting stability and transparency in the global financial system during a meeting in Niigata, Japan. The committee acknowledged the benefits and risks associated with central bank-issued virtual assets and emphasized the need for a reliable and transparent payment system to support economic activities.
Samsung and Bank of Korea Partner to Develop Offline Central Bank Digital Currency Technology
Samsung Electronics and the Bank of Korea have formed a partnership to research Central Bank Digital Currency (CBDC) technology that can facilitate offline transactions. The collaboration aims to eliminate the reliance on the internet and introduce a new phase of smooth offline transactions. Samsung Electronics participated in the Bank of Korea's two-part mock testing of CBDC last year and helped develop an offline CBDC technology that makes transactions and payments between mobile devices via near-field communication without an online connection using Samsung’s security chip, the embedded Secure Element. The two companies will work on enabling users to access transactions and payments through Samsung’s Galaxy smartphones and Galaxy Watch even in situations when online networks cannot be accessed. The adoption of CBDCs is accelerating around the world, but there are still concerns about privacy and security.
Texas Introduces Bill to Ban Central Bank Digital Currencies, While Exploring State-Based Gold-Backed Digital Currency
Texas has followed Florida's lead in introducing a bill to ban Central Bank Digital Currencies (CBDCs) within the state. The bill highlights concerns about the potential risks associated with retail CBDCs, including government surveillance, control over private financial transactions, and transaction monitoring. Despite opposition to CBDCs, two Texas lawmakers have introduced identical bills for creating a state-based digital currency backed by gold. The bills propose that a fractional equivalent amount of physical gold would back the proposed digital currency, and the introduction of these bills indicates that some U.S. lawmakers are exploring alternatives to CBDCs.
Ripple Joins IMF to Discuss CBDCs for Cross-Border Payments
This week, a panel discussion on the next steps for cross-border payments occurred between May 10 and May 11 as part of the Digital Monetary Institute (DMI) symposium in London.
BIS Releases Handbook on Offline Use of Central Bank Digital Currencies (CBDCs)
The Bank for International Settlements (BIS) has released a handbook on the offline use of central bank digital currencies (CBDCs) following a joint project with the central banks of Sweden, Norway, and Israel. The guide, titled 'Project Polaris,' aims to assist central banks in implementing CBDCs in their offline operations, depending on various considerations such as location, demographics, and other specific factors.
