GOVERNMENT'S OWN BLOCKCHAIN

Governments are slowly starting to clamp on things that go again their upcoming CBDCs. If this is true then it is very terrifying. There are two types of CBDCs, wholesale CBDCs, and retail CBDCs. Wholesale CBDCs will be used by select individuals and institutions while retail CBDCs will be used by everyone. It means there will be two digital currency systems, one for those in the high-power, government, and big companies and another system for the masses.

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Banks will have total control of your money with CBDC. The central banks will have absolute control over what you buy when you can buy it and how much money you can save. I know you might be wondering how this system is different from the current financial system because it is no longer news that banks can freeze people's bank accounts. Even the Canadian banks froze the account of the protesters back in February this year. The difference is that the current financial system is still decentralized. For instance, there are multiple banks and payment processes, if one of the banks starts to limit your payment process, then you can move to another bank.

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In the CBDC system, there will not be any competitors because everything will be controlled by the central bank. In theory, the central bank is independent of the government but in practice, it is not and I think the introduction of CBDC will course the two to merge. If this should happen, it means that it is the government that will have absolute control over your asset. All assets will be tokens on the government's own blockchain, you will think you own your asset until the government deserves to turn your ownership off just by clicking a button.

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The money you have in your bank account might sound funny but in the reality technical does not belong to you and it applies to many other assets have with the third party and also coins you have in a cryptocurrency exchange. The true meaning of financial freedom is owning your asset and deciding when to spend them. The value of financial freedom will become evident when the CBDCs are launched and it will definitely lead to massive adoption of crypto.