Actually they are not. The Fed balance sheet is nothing compared to the "virtual" derivatives that come out of private investment banks, like Wallstreet, China, etc...

Most of the debt is not created by central banks. Sure without CB the government would go bankrupt, but again, sudden changes like that are not beneficial for anybody.

What needs to be done is to create the infrastructure first, necessary to replace the corrupt institutions, and then, and only then replace them.