Bitcoin, a monetary revolution, brought the invention of blockchain technology that basically solved a well known computer science problem. This new innovation has taken the world by storm in the form of true decentralization, now possible in this digitized world we live in.

Features of Bitcoin

• Open-source
• No president or head like figure
• Build to scale
• Decentralized

Features of Decentralization

• No one individual or group controls this innovation
• Major changes need the agreement of a large portion of the community

Including:

• software developers
• miners
• node operators

Legacy traditional institutions, especially central banks, are impressed and perplexed with this innovation that for the first time creates a truly digital currency, and also how fast people have adopted this technology worldwide.

These same central planners are watching in dismay as they realize that their central banks organizations have no control of the money supply in this new decentralized digital financial system.

The control and production of legacy currency has historically been reserved for central banks, and which is directly tied to the close relationship and ties with the state.

Decentralization of bitcoin is super important and the biggest innovation. Without a single point of failure, including a prime minister/president or institution or centralized servers.

Central banks have now realized that they will have to compete in the free market now that this innovation has been brought to light.

Central Bank Digital Currencies (CBDC) is their new product that will compete against this new innovation in the market.

CBDCs will remove privacy and the decentralized nature of physical cash. Giving central banks control over users’ financial life.

Examples:

1. Personalized inflation — Central banks currently have the ability to manipulate interest rates and expand/contract the supply of money. With CBDCs the central bank will be able to personalize the monetary policy down to the individual. i.e: Some individuals get a higher inflation rate in an attempt to get them to spend currency, while others receive a lower inflation rate. Other monetary policies can be based on where individuals live, who they are, their wealth status, their occupation, their purchase history, etc.
2. Financial censorship — Central banks and governments can have complete control when CBDCs are distributed throughout the population. They will be able to avoid and bypass the court system and rule of law or even invoke “emergency powers” to tell individuals who they can transact with. All of this can be done and implemented remotely using digital technologies. Central bankers will be able to see transactions in an individual’s bank account, who they transact with, what they are purchasing, and basically all their financial life. The system is fully transparent to the state and removes all elements of privacy, while also giving the institutions the ability to censor any and all transactions, regardless of whether they have a legitimate reason or not.
3. Social credit system — When the financial system is completely controlled by the central bankers and the government, they have the ability to compensate or punish individual individuals based on the actions they take. i.e: If individuals eat too much candy they might be blocked from buying certain candy. If individuals gamble they might be stopped from using public transportation that heads in the direction of the casino. These examples have been publicly presented by the Bank of England (Bank of England tells ministers to intervene on digital currency ‘programming’ Digital cash could be programmed to ensure it is only spent on essentials, or goods which an employer or Government deems to be sensible) China already has one in place. Canada is implementing one in real time right now. (A Social Credit System Arrives in Canada Justin Trudeau just created a caste of economic untouchables. Can we stop this dystopian policy from taking hold in America?) i.e. If individuals are obese they can be allowed to conduct transaction for healthy food only.
4. Expiration of money — Central banks are constantly trying to have people spend currency in the economy so that you can increase the velocity of money. The best way to do this with CBDCs is to have this new digital currency expire. If the individual doesn’t use the currency within a certain period of time it will not work anymore.

These are just four examples of various activities that central banks will engage in once they are successful in creating and distributing CBDCs.

Pay attention Absolute Power Corrupts Absolutely.

This needs to reach global awareness, central banks can and most probably will be the greatest violators of human rights.