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central banks could offer 100% guaranteed deposit facilities without a CBDC.
by retube 4y ago
central banks could offer 100% guaranteed deposit facilities without a CBDC.
- thwayunion 4y agoI'm so confused by what role a CBDC is even supposed to play... why would the government establish a new currency pegged 1:1 to its existing currency? Why not just... allow normal Americans to keep deposits at federal reserve banks?
- maxwell 4y agoCBDCs are programmable: whoever controls the CBDC can decide where it is or isn't spent.
- retube 4y agoWell they could, but actual implementation would be via an intermediary commercial bank that held it's deposits with the Fed. Central banks don't want to have to deal with retail customers. But the result is the same.