Good Question-Good Answers

In the Final round of Good Answers, Remitano found two best answers to the question:

" What is the need to introduce central bank digital currency having in mind that the beauty of digital currency is decentralization? "

Congratulations to 2 players:

• godgrace1 with the answer:

The need to introduce central bank digital currency can not be overemphasized because it will play an important role in strengthening the cryptocurrency industry and win more approval for better acceptance in countries that dim bitcoin to be illegal ,that,s not all, the introduction of central bank digital currency will also help in faster, cheaper, and efficient payments transactions, also the central bank digital currency will also reduce the cost of producing physical money supported with the blockchain technology, and the central bank digital currency will be very difficult to counterfeit unlike the paper money.
The central bank digital currency will also help in making it easier for government agencies to combat criminal activities, like money laundering, tax evasion, bribery because the money trail will be clearer.

• ugospecial with the answer

There are various reasons why central bank digital currency needs to be introduced. First of all as a defensive move. The rise of crypto currencies like the Libra could create tensions among central banks and regulators as these can make it difficult for central banks to manage their foreign exchange controls and implement a sound monetary policy.
Another reason is the optimisation perspective. Current central bank operated money systems work well, but could certainly benefit from improvements e.g. in settlement. They see this technology as ‘optimizing or improving the rough edges on a system which is already great, and which they have no desire to fundamentally change

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