The creator of Cardano has just noted the fact that the game between crypto vs. CBDC is set to finally begin. Check out the latest reports about the matter below.
Crypto vs. CBDC
In a recent interview with Coin Bureau, Charles Hoskinson, the creator of Cardano (ADA), emphasized that the battle in digital assets has shifted from being between different cryptos to that between cryptocurrencies and central bank digital currencies (CBDCs).
As the CEO of Input Output Global, Hoskinson warns of the potential dangers that CBDCs pose and highlights the importance of the core principles of decentralized crypto.
He asserts that the competition has moved beyond Ethereum versus Cardano versus Algorand versus Solana and that the real challenge now is between crypto and CBDCs.
Hoskinson cited the example of China, where a social credit system has been implemented for 1.2 billion people, and warns that it is only a matter of time before this system is integrated with CBDCs.
He cautions that such a scenario would give governments immense power over individuals, allowing them to control access to essential services like transportation and travel based on their social credit score.
He said the following:
“And there are so many people in the ESG (environmental, social and corporate governance) movement that say, ‘Hey, you’ve already filled up your car once this week, so we’re not going to let you buy gasoline until next week.’ They’re writing memos about how the single best way of preventing climate change is incentivizing climate-friendly behavior through the money system.”
Hoskinson continued and explained the fact that “the minute they have a CBDC, transaction discrimination happens, and then it’s going to be discriminated on two different axes: what you do with it and who you are. And if you are part of a political minority that’s being persecuted, basically you get shut out of society. And if you’re doing things that the government structure with no oversight has decided, you don’t get to do that anymore.”
You’re basically you’re shut out of your money and this is the dream of all despots according to him.
Hoskinson also made sure to highlight the fact that legitimate crypto projects are the antithesis of CBDCs. We suggest that you check out more about what he had to say in the original Daily Hodl article.
