98% of the global economy is attacking CBDCs

True crypto aficionados have a soft spot for privacy and decentralization. Not so CBDCs, the central bank digital currencies that turn governments into modern-day Big Brothers, watching every transaction from the shadows. While this idea may raise hackles among Bitcoin fans, a report reveals that 98% of the global economy is already exploring these new digital currencies.

CBDCs are taking over global economies

What was just an idea in 2020 has now taken on global proportions. Today, 134 countries representing 98% of global GDP are actively exploring central bank digital currencies (CBDCs)note Atlantic Council experts.

And the trend is not about to reverse, since even major economies like India, Australia and Brazil are testing this technologyIn two years, the number of countries involved has increased from 35 to 134, an impressive leap that speaks volumes about the governments' ambitions.

Every member of the G20, without exception, has put its foot in the stirrup of the MNBC. Of the 19 countries most advanced in this adventure, 13 are already in the pilot phasewith major economies such as Russia, China and India at the forefront.

Although only three countries (the Bahamas, Jamaica and Nigeria) have already launched their CBDCs, all are pursuing national expansion goals.

• 134 countries are exploring CBDCs;
• 65 countries in advanced phase;
• 3 countries have already launched their CBDC.

The Atlantic Council report highlights that Interest in MNBCs intensified after Russia's invasion of Ukraine – the latter wanting both bitcoin and CBDCs, with cross-border projects now at the heart of geopolitical concerns. At this rate, CBDCs could well become essential, whether crypto purists like it or not.

The CBDC race is not without pitfalls for crypto

While CBDCs promise to make the more efficient transactionsthey are not without raising major questions, particularly for crypto defenders. Indeed, where Bitcoin (BTC) and its cousins ​​advocate freedom and the absence of centralized control, CBDCs risk imposing themselves as the ultimate weapon of financial totalitarianism. Some, more radical, even go so far as to affirm that ” CBDC and generalized surveillance are one and the same “.

Governments supporting the transition to CBDCs put forward several arguments: financial inclusion, reduced transaction costs, and of course, transparency. But not everyone is convinced.

One of the most feared risks is that of a massive withdrawal of funds from traditional banks, which could destabilize already fragile financial systems. Not to mention the potential cyberattacks that constantly hover over this type of project.

Even more worrying, these digital currencies could redefine international power relations. China, with its digital yuan project which turns out to be a fiasco, has already taken a step ahead.

And if the BRICS, the increasingly influential emerging bloc, agrees to launch its own alternative payment system, the dollar could well lose its role as the benchmark currency.

For the crypto community, CBDCs remain the bête noire. The specter of centralized control and mass surveillance is raising eyebrows, reinforcing the idea that CBDC and totalitarianism are two sides of the same coin.