Central Bank Digital Currencies: a Revolution in Banking?

[adhitthana]

http://www.counterpunch.org/2016/09/19/central-bank-digital-currencies-a-revolution-in-banking/

Several central banks, including the Bank of England, the People’s Bank of China, the Bank of Canada and the Federal Reserve, are exploring the concept of issuing their own digital currencies, using the blockchain technology developed for Bitcoin. Skeptical commentators suspect that their primary goal is to eliminate cash, setting us up for negative interest rates (we pay the bank to hold our deposits rather than the reverse).

But Ben Broadbent, Deputy Governor of the Bank of England, puts a more positive spin on it. He says Central Bank Digital Currencies could supplant the money now created by private banks through “fractional reserve” lending – and that means 97% of the circulating money supply.

thoughts?

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[CryptoObserver]

There is going to be a battle that is for sure. The future battle I see is between Ripple / Central banks and bitcoin/Gulden.

[bbc.reporter]

"Skeptical commentators suspect that their primary goal is to eliminate cash, setting us up for negative interest rates (we pay the bank to hold our deposits rather than the reverse)."

What are they trying to do? If they are truly going to set up a real blockchain based cryptocoin that would make them useless. There would be no need for us to pay them to let them hold our money. That would be a stupid idea since we already have total control of our money.

Maybe what they are trying to do is a shared ledger for digital currencies where they have total control.

[Cryptotraider16]

We can only say amaizing!

[Gahs]

Well I am saying welcome to the future... what were you expecting?

You think the world powers will allow a decentralized open ledger to take over from them? No.

[Golftech]

saddest true they just wants full control of the chain they always wants to gain but not really supporting it. just keep on eye from this possibilities

[bbc.reporter]

@Golftech. Why use a blockchain if they want full control? That goes against the characteristic of why a "blockchain" is a blockchain. They should use a database instead.

Sometimes I am wondering why they are trying to do this. Is it really that they are seeing the threats coming from the cryptosphere?

[JeffBrad12]

Sometimes I am wondering why they are trying to do this. Is it really that they are seeing the threats coming from the cryptosphere?

Considering from the cryptosphere and obvious that is will giving the different threat for the bank but the effect will feel for a long term. the crypto is already gnawing the bank and especially for their customer.