Efrat Fenigson: Preparing for Central Bank Digital Currencies
“You’ve got to understand. These people really do see most of us as useless eaters.”
CBDCs, as the name suggests, are programmable digital tokens issued directly by a country’s central bank. Think that’s not a problem? I disagree—but don’t just take my word for it. Here’s what Agustín Carstens, the General Manager of the Bank of International Settlements, said a couple of years ago while discussing physical cash:
“A key difference with the CBDC… is that the central bank will have absolute control over the rules and regulations that will determine the use of that expression of central bank liability.”
Yes, you heard that correctly: programmable money, issued and controlled exclusively by what I’d describe as creepy, psychopathic banking overlords. That’s my take, of course, but I’ve linked Carstens’ speech in the show notes below so you can decide for yourself whether you’d trust him to control your money.
Thankfully, since 2008, we’ve had an antidote to this kind of centralized sociopathy: Bitcoin. So, while there’s no need to despair, it’s crucial to prepare for what is almost certainly coming alongside the rollout of CBDCs.
In our conversation, Efrat and I explore a range of topics, including how CBDCs are being marketed to the public, the Covid crisis, social credit systems, Alipay and WeChat in China, the emergence of personal carbon allowances, and the looming possibility of a global financial collapse in our lifetimes.
This discussion is both insightful and timely, so I hope it resonates with you.
Enjoy the conversation.