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Not sure why you think this. The only difference is the protocol of which our already digital currency is facilitated through. The dollar remains the global re
by ethn 6y ago
Not sure why you think this. The only difference is the protocol of which our already digital currency is facilitated through.
The dollar remains the global reserve currency because it has the most demand due to the purchasing power of US companies/consumers, has a remarkably predictable inflationary policy, and the government backing it is very well funded/stable.
- anm89 6y agoIn my opinion, you are reversing the causation. There is demand for dollars because it is the global reserve currency. This is enforced through treaties and trade agreements and other countries are structurally locked in to using dollars.
- humaniania 6y agoWhy would that change just because it's being tracked with a blockchain?
- anm89 6y agoFirst, this is a misconception that central bank digital currencies are about blockchain. Some of the proposals have block chain tie ins some dont but at its core this is not about block chain or crypto.This is about payment pipelines and central bank policy options and does not imply a technical architecture. Secondly, the whole point of creating new pipelines is to enable new trade agreements that aren't dollar centric. Yes you still have dollar obligations from past trade debt and you might have some future obligations to trade in dollars but your bargaining position changes once there is another viable option on the table.
- deleted 6y ago[deleted]
- ethn 6y agoNot at all, the American consumer's/company's demand for U.S. dollars is because taxes must be paid in dollars to the US Government
- anm89 6y agoLet's agree to disagree.