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May 7 2021 06:14am
So I ran across this article from the econonist, it's talking about governments coins or digital currencies from central banks. I'm pretty surprised by the language they are using and would like to hear some people opinion on that. Some of the stuff that I found interesting :

https://www.economist.com/leaders/2021/05/08/the-digital-currencies-that-matter

These “govcoins” are a new incarnation of money. They promise to make finance work better but also to shift power from individuals to the state, alter geopolitics and change how capital is allocated.
Once ascendant, govcoins could become panopticons for the state to control citizens: think of instant e-fines for bad behaviour.
One motivation for governments and central banks is a fear of losing control.
Government digital currencies could also expand governments’ toolkits by letting them make instant payments to citizens and cut interest rates below zero.
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May 7 2021 10:33pm
negative interest rates isnt a new concept. this just gives governments an “out” for such a ridiculous measure that easily defeated by buying index funds. or even buying fucking cigarettes that arent overly taxed in one area and then driving them across state lines to be sold in densely populated areas (do not recommend this but it makes me laugh)
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May 8 2021 04:29am
Quote (excellence @ May 8 2021 12:33am)
negative interest rates isnt a new concept. this just gives governments an “out” for such a ridiculous measure that easily defeated by buying index funds. or even buying fucking cigarettes that arent overly taxed in one area and then driving them across state lines to be sold in densely populated areas (do not recommend this but it makes me laugh)


Richard Werner have some good stuff on interest rates, hes the first one to produce scientific paper on the subject and is fighting everyday about this. While negative rates isn't a new concept I tend to see this as additional taxation, it's a way to make you do something with your money and not hoarding it. It also have a notable effect and I think it's the key here ; it drives banks out of business, they have to close or merge together thus merging into what we could call as "big banks"

Since Basel I, II and Basel III (monetary policy from the bank of the central banks, bank for international settlement, btw this is the most important bank in the world and most doesnt knows it exist), the implementation of more and more rules from central banks on banks, the implementation of negative interest rates. It clearly does make most banks out of business or merge together. Since the creation of the ECB I don't remember the exact numbers but the amount of banks in the euro zone is easily down from 30%. That's huge for a decade or so.

I like to think of money as a tool we exchange for time, one has to exchange some of it's time in order to get money. A worker exchange it's time for money, a beggar exchange it's time for money, a person that benefit from the unemployment benefits have to spend some time in order to get money. By accepting the digital currency system below we give them the power to do anything with our time, they can print money out of this air, we can say that they steal our time out of thin air and this is what they are doing right now at an tremendous pace. In such a centralized system they can do anything with our time, they could have a say on where it's possible for us to spend it, they could put additional taxation if you keep more than X amount in the account, they could even make it with an expiration date, this is being tested in china right now.

Such a centralized system is very dangerous, I think we can all agree to say that time is limited is our life, let's agree to question their goodwill. Governments are the biggest cause of death and human misery in the world, let's think about the implication of such a centralized money system.
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May 8 2021 04:44am
Here is Time's take on it, what if the plan is to completely shift the banks, do you think that's an option?

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May 9 2021 09:23am
Quote (excellence @ 8 May 2021 06:33)
negative interest rates isnt a new concept. this just gives governments an “out” for such a ridiculous measure that easily defeated by buying index funds. or even buying fucking cigarettes that arent overly taxed in one area and then driving them across state lines to be sold in densely populated areas (do not recommend this but it makes me laugh)


It's even a thing in countries like Denmark.

#CryptoSafeHaven
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May 13 2021 12:46pm
Quote (excellence @ May 8 2021 12:33am)
negative interest rates isnt a new concept. this just gives governments an “out” for such a ridiculous measure that easily defeated by buying index funds. or even buying fucking cigarettes that arent overly taxed in one area and then driving them across state lines to be sold in densely populated areas (do not recommend this but it makes me laugh)


Bank of England's Bailey was talking today about CBDC's he didn't share anything amazing about them just that they would be ready if they were to become the norm and that they are working on it. One headline that got my attention was : BANK OF ENGLAND'S BAILEY SAYS A DIGITAL CURRENCY WOULD HAVE IMPLICATIONS FOR INTEREST RATE SETTING

In my opinion this is the start of framing the narrative on the expiration date on money or you-have-to-spend-your-money-asap otherwise negative interest rate. Another article this morning regarding the e-yuan because they are trialing it in China rn was talking about how it wasn't taking off, people don't see a particular use for them. Obviously that make sense because everything is almost fully digitalized already.

That let us speculate on how could we incentivize the population on accepting those, a shock maybe?
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May 20 2021 12:53pm
FED TO PUBLISH PAPER THIS SUMMER ON POSSIBILITY OF ISSUING U.S. CENTRAL BANK DIGITAL CURRENCY

traduction : we are ready we just need to work on the legal aspect and the shock to implement them


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May 21 2021 02:59am
Just to make cash irrelevant so govment can see and track every transaction we do

Wanna gieb ur mom 20$? Well she gotta pay tax on it hehe xd

This post was edited by KRR on May 21 2021 02:59am
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May 21 2021 07:49am
Quote (KRR @ May 21 2021 02:59am)
Just to make cash irrelevant so govment can see and track every transaction we do

Wanna gieb ur mom 20$? Well she gotta pay tax on it hehe xd


that's completely what it is

china and india are already in the middle of rolling this out

make every transaction digital so they can catch people evading taxes, should've just made taxes fair and take away loopholes so people aren't incentivized to dodge taxes
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May 21 2021 08:32am
Quote (KRR @ 21 May 2021 04:59)
Just to make cash irrelevant so govment can see and track every transaction we do

Wanna gieb ur mom 20$? Well she gotta pay tax on it hehe xd

yep. a total joke and pure unfiltered govt overreach
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