CBDC’s are basically food stamps. Let’s say people actually go for this shit, which I can’t see given how ineffective governments are, and no one seems to take in to account the difficulty of public adoption of such a thing - how would international trade be settled? Producers aren’t going to accept a restrictive government shitcoin for actual goods… So governments operate on a bitcoin standard while the people trade in shitcoin food stamps? Is that the idea?
Discussion
I think the Chinese yuan will be quite accepted both in China and abroad, especially in Africa. Where the Bretton woods fell down, I suspect the chinese yuan will get some traction. I mean redeem the yuan for export goods from China or a gold backed equivalent. Seems pretty fair for any fiat loving business.
We assume cbdcs will be used badly. And they will be for some people. But for the vast majority they will be 'fine' I suspect. I say this not supporting cbdcs, but more as an observation of how I think it will play out.