What are the odds that the government/banks will truly create their own coin?

[Blanca_Gregory]

We've all seen this phrase before: that the government and/or banks will more likely to create their own cryptocurrency, but what are the odds that they really will? How can we be sure that these two sectors will create their own coins eventually and will it even change the game if they do? If they did, will it not threaten bitcoins and altcoins because the common people who haven't heard of bitcoin before might choose to use these bank/government-created coins instead? Do we really need more coins?

[Gloverwrt]

Banks have their own currency; fiat. Which they control. Banks operate on a centralized system.
Cryptocurrency is decentralized and there is little control over the market. Sure the creators can control the technology and usecases. But that doesn't give them direct influence over the market, once you have sold up during your ICO, investors can choose to do as they wish with their assets.

If they did, will it not threaten bitcoins and altcoins because the common people who haven't heard of bitcoin before might choose to use these bank/government-created coins instead? Do we really need more coins?

I don't see how it would threaten bitcoin anymore than any other currency created by other devs.
If it is linked to banks it's safe to assume it is centralized and would be an avenue to utilize the blockchain technology. Which some governments are already doing.

[javadsalehi]

Today, there are a lot of cryptocurrencies. Nothing will change if governments add some new cryptocurrencies to the market. They cannot threat bitcoin. Whether a government create a decentralized or even centralized cryptocurrency they make bitcoin more popular. Every one try to study about cryptocurrencies, first will know bitcoin.

[xbossJ]

Its been rumoured over time that banks in some countries are test running blockchain solutions inhouse, other times we have heard that the PBOC, Central bank of Russia, Venezuala etc. have been nursing the desire of creating or have created a central bank backed cryptocurrency! The truth remains that banks will tow the part of the new technology in the near future, but it would still be an equivalent of the FIAT they are already issuing; Plus the fact that banks aren't transparent with their books, it might just be a "Private Blockchain" with transactions not public as in the case of "Public Blockchains". We can only keep our arms crossed as things unfold.

[dothebeats]

Eventually, they will have to switch their assets into digital tokens just so they can keep up with the latest technology that the governments would soon use. It is without doubt that they are really interested in using the blockchain into their services, but cryptocurrencies? Though there are some countries that have already expressed their liking on the thought of going digital in terms of their currency, we're still far off from seeing one nation fully using their state-issued cryptocurrencies for brick-and-mortar shops and completely replacing fiat. Once the society has fully accepted cryptocurrencies, governments would then have the chance to issue their own and replace paper money as we know it. The chances of having it in the near future is low, but the thought and the interest is already here.

If they did, will it not threaten bitcoins and altcoins because the common people who haven't heard of bitcoin before might choose to use these bank/government-created coins instead? Do we really need more coins?

I think the primary goal of state-issued and bank-issued cryptocurrencies are mainly for economic purposes and not necessarily assets/investment vehicles, so the assumption that they will try to combat bitcoin and other prominent crypto is plainly wrong.

[Gloverwrt]

Eventually, they will have to switch their assets into digital tokens just so they can keep up with the latest technology that the governments would soon use.

I doubt that.
I don't think fiat would capitulate and switch to the blockchain. That's a fancy way of saying bitcoin (or some cryptocurrency) would become the globally accepted currency, while the financial system as we know it would collapse.

Decentralization is an exciting concept and the freedom it offers makes the deviant few switch over to this side. But governments and banks would not surrender control. And except cryptocurrency becomes regulated, fiat would remain as it is.

[shamc]

There is a bigger chance that they will create their own coin rather than use ripple. This assumes that crypto has gone global and they have no choice but to join in. Petrol has been created already, others will surely follow.

[cizatext]

I don't think that the government and banks will consider the option of creating their own coin after all this two institutions are all involved in the economic control of cash, government on it own part have play the regulatery role and at the same time the sole operator of the faint paper money and the traditional financial institution. While the bank is the institution responsible for the transactions of the traditional financial transactions which has to do with fait paper Money.

[rosezionjohn]

Unless banks and governments can decentralized their system, then there's no way they can build a decentralized currency like Bitcoin.
Come to think of it, I have read and heard many that says Ripple is the cryptocurrency for banks 

[cryptohunter]

it is not possible at all to replicate Bitcoin without POW launch.

that is the only trustless way to distribute

once you pass through a period of needing trust there is no way back to being trustless

[baghdatis1990]

     Banks already have their own currency. These are the fiat coins, which banks will not give up. Both the government and the banks are responsible for improving the economy of a state with paper coins. It is fanciful to believe that bitcoin will be taken over by banks or that banks will adopt a crypto currency. Even if that were the case, all paper coins will govern.

[LukeHartman]

Governments and banks already have their own currency and it is the fiat currency. It is unlikely that they will ever try to create their own cryptocurrency. Even if they do try create it, it will not be decentralized. A centralized currency will hardly be able to cryptocurrency.

[Ladysmith]

Some countries are have already created or are in the process of creating their own cryptocurrency.

The Marshall islands is one of them (http://time.com/money/5186316/this-is-the-first-country-to-adopt-a-cryptocurrency-as-its-official-currency/)

"The Pacific island nation said it became the first country in the world to recognize a cryptocurrency as its legal tender when it passed a law this past week to create the digital “Sovereign,” or SOV. In the nation of 60,000, the cryptocurrency will have equal status with the U.S. dollar as a form of payment.

The Marshall Islands intends to initially sell 6 million SOVs to international investors. It says it will use the money to help pay for the budget, invest in projects to mitigate the effects of global warming and support those people still affected by U.S. nuclear testing."

The smaller and less powerful something is, the more well-intentioned they are.. If powerful governments were to create their own centralized cryptocurrency it would not be for the greater good, but for the 1%

[Ctn]

They wont, because they know very well that they have already created the best currency of all time called as Fiat. They are controlling it and having its price tag manipulated or controlled or whatever you call it is completely fool proof system. They will never ever divert themselves for shitcoins and investing their money into a project based on the technology which is novice and not needed by them yet. They are already making fun of it by imposing lot of rules and regulations on it and I guess you should be getting your answer from that only, no they wont create their own currency at all.

[Twentyonepaylots]

They wont, because they know very well that they have already created the best currency of all time called as Fiat. They are controlling it and having its price tag manipulated or controlled or whatever you call it is completely fool proof system. They will never ever divert themselves for shitcoins and investing their money into a project based on the technology which is novice and not needed by them yet. They are already making fun of it by imposing lot of rules and regulations on it and I guess you should be getting your answer from that only, no they wont create their own currency at all.

   These is a matter of Regulation on how the government create its Coin for open market. Some big company already had their own coin as posted in the market after ICO, the other thing or the question is when? what Kind of coin to be launch in the open market of crypto currency in the near future. the possibility is always open. the only question now is which country who will make a greater move to participate for Crypto market.

[santiPOGI]

They are into regulating the bitcoin and other cryptocurrency now.
But the power of this currency will never be stop by any country.
This is the future of the world, if they dont want to be done then they will adopt the technology.
They will soon have their own crypto currency.

[okala]

I seriously believe that governments and financial institutions are going to create there own coins in future and most of them are secretly studying blockchain technology in other to find the way to used it to their advantage.  Blockchain technology is good and why governments dislike it is because it is decentralized.

[Impulseboy]

Today, there are a lot of cryptocurrencies. Nothing will change if governments add some new cryptocurrencies to the market. They cannot threat bitcoin. Whether a government create a decentralized or even centralized cryptocurrency they make bitcoin more popular. Every one try to study about cryptocurrencies, first will know bitcoin.

If the government of a particular country converted their own local currency into cryptocurrency (a cryptocurrency version of their local money), does it not mean that the people in that country will start using the government-issued crypto more? I think this is possible because some people might have a hard time understanding bitcoin, so they will use the one the government created instead.

[zeingrind777]

If governments and central banks make their own cryptocurrency, Bitcoin and Altcoin will not be affected and will not be replaced by them. Because crypto coins they make are centralized. While Bitcoin is a decentralized and more efficient currency. In addition, cryptocurrencies made by the government and bank are only a trend in one country and not globally.

[Christopher_Hayes]

If governments and central banks make their own cryptocurrency, Bitcoin and Altcoin will not be affected and will not be replaced by them. Because crypto coins they make are centralized. While Bitcoin is a decentralized and more efficient currency.

Agreed, but what if the government decided to regulate cryptocurrencies when they make their own coins? Surely it will affect the market, right?