Will digital dollar be a threat to bitcoin?

[MainIbem]

When you talks of Digital Dollar what first came into your mind, to me is sounds as a stable coin (CBDC) that can be controlled by government this doesn't have affiliate with bitcoin and in no cost should it be a treat to bitcoin. CBDC can't be compared with Bitcoin outside that government has no control over bitcoin so I don't think this case will affect bitcoin progression or affect its price as per say. Note that bitcoin is valuable assets where people has placed their investment.

[trendcoin]

The digital dollar cannot be a threat to Bitcoin. At least if I speak for myself, the digital dollar cannot be "absolutely" a threat to Bitcoin.

Bitcoin is not "only" a digital asset, it is also a store of value. The digital dollar will remain dominated by the Fed and will likely have a centralized structure. Bitcoin will not suffer from inflation pressure and will have a decentralized structure. Digital "dollar, euro, dinar, lira, peso" will never be a competitor to Bitcoin for me.

[wiss19]

There is a place for the dollar despite it numerous problems and personally, I think that a digital dollar is the worst idea out there especially if the motivation is to topple bitcoin instead of making it work along side. My fear is that once the government has control of your currency again especially in through CBDC, they can cut you off or take it all at the push of a button. Additionally, the idea that the government would create a digital currency for free is absurd and naive.

Anyone who is fine using CBDC should be fine using regular dollar as well, that's the difference. We may dislike it as much as we want but when you look at the rankings you see USDT and USDC and BUSD being so high right now, meaning there is a good chance that people who use those stablecoins and invested over 100+ billion dollars into just those three (there are also other stablecoins combined makes it 200+ billion) that means we are going to see government ones to make some noise as well.

It's not going to be that easy, it's not going to be simple, but it's going to be something that we can live with in the long term for sure and we will see it hyped up eventually.

[Piesel]

I don't see how and why a government would allow cryptocurrencies to overtake its own currency as the medium for exchange for goods and services within the global economy.  There are many reasons for this. However the idea of allowing the Government Currency to hedge against BTC is an interesting idea.  We would be going back to the days before the FED was created.   

The fact is the topic title is misleading and the information in the post has a different view and statements that do not collide with the topic title.

The thread is about United regulation on the energy consumption of Bitcoin proof of work algorithm while the topic title point to a direction of the digital dollar being a threat to bitcoin and other decentralized currencies.

But then we are talking of regulations again where we seek to demystify what will become of proof of work algorithm if it is regulated, but we should also know that there is already an alternative source of energy which is the less expensive and self-generated source as solar power and other clean energy.

[Gyfts]

Isn't this question also for various other CBDCs?
We can see from the digital dollar function itself. is a legal tender. And became the benchmark currency in most countries in the world. But Bitcoin, this not only applies as a currency, but also has value and trust to be something worth investing in. While the dollar, no. This is what makes Bitcoin most likely not to be disturbed by the digital dollar.

Digitalized dollars are basically CBDC's. Idea is to get rid of paper based cash and force people to rely on a central authority for digitalized funds. It allows the central authority to revoke the funds at any time or disallow users to spend the funds (ie freeze accounts).

Bitcoin isn't inherently threatened by CBDC's because they don't operate the same. That being said, the indirect threat exists because government will never cease to act on an opportunity to regulate Bitcoin into the ground while propping up their own useless currencies riddled with inflation and inept central bank control

I'd be worried if I were you.

CBDC is just one of the latest waves making headlines in most countries who don't want to fully accept crypto currency. Digital dollar is same as CBDC. Although, the idea of which it operates on shares a digital similarity with cryptocurrency, in that both ensures the user carries less cash around, can buy or sell through a digital device from anywhere in the world with an internet access, also one can easily convert currencies to suit demand. It is sure going to aid curb inflation, and reduce offline crime. However, more awareness need be created by recognized sponsors to expose scamming theatrics and provide online security for users who have been able to adopt CBDC fully.

To be clear, I don't think cashless appeal is the only reason why the government's involved in CBDC's. Most people don't carry cash anyways and the government reserves the right to withhold funds from your bank account if they wish. CBDC's make it a whole lot easier to control the money supply, and presumably it shifts more power to the government without having to use private banks as intermediaries.

As I mentioned before, the government would not hesitate to use CBDC's as a cudgel against crypto so it only serves to benefit them. Average consumer has no use for them.

[yhiaali3]

The digital dollar can succeed in the United States. The United States has huge capabilities and a very developed infrastructure for the success of this project. In my opinion, all governments will eventually be forced to issue their own digital currency to keep pace with the rapid development in this era, but the question is whether the digital dollar can affect or overcome on bitcoin? The answer, in my opinion, is absolutely no, neither the digital dollar nor any other central currency will be able to exclude Bitcoin.

[Mauser]

   Do you think with the level of civilization in the united states, that the digital dollar will be successful?

I do think that the digital Dollar is going to be only moderately successful, similar to the digital Euro. These digital currencies are not in a direct competition with Bitcoins and other crypto currencies in my opinion, rather competing against other Fiat currencies. The main idea behind cryptos is to not be influenced by governments and be independent from national central banks. With the digital Dollar this is not the case, it's another from of the Dollar that is controlled by the FED. As long as politicians can decide to print money freely there won't be crypto investors switching into that currency. Another factor that is making the digital dollar less successful is that the world is trying to move away from the US Dollar as the number one reserve currency. Most of the international trade is still being settled in USD, which creates some demand for the digital Dollar, but the world is moving more and more into bilateral trade bypassing the dollar.

[Abiky]

To be clear, I don't think cashless appeal is the only reason why the government's involved in CBDC's. Most people don't carry cash anyways and the government reserves the right to withhold funds from your bank account if they wish. CBDC's make it a whole lot easier to control the money supply, and presumably it shifts more power to the government without having to use private banks as intermediaries.

As I mentioned before, the government would not hesitate to use CBDC's as a cudgel against crypto so it only serves to benefit them. Average consumer has no use for them.

What governments want is full control over the monetary system. And the only way to do this is by launching a digital currency of their own. Once the new system is up and running, people will no longer have privacy over their finances. Everything will be visible by both the central bank and the government on a distributed digital ledger only they can control. It's the perfect kind of money for a totalitarian/surveillance state.

I don't see how this would work well in a democratic country like the US, since this takes away people's freedom and privacy. The emergence of the digital dollar or Euro won't be a direct threat against Bitcoin, but it will have some impact on Bitcoin's mainstream adoption. It's likely more people will join government-backed digital currencies while leaving Bitcoin behind in the dust. You can expect government propaganda and misinformation in order to prevent as much people as possible from using Bitcoin. We shouldn't be worried about this as long as Bitcoin remains decentralized. Just my thoughts

[inthelongrun]

Well, many CBDCs are already expected to launch. They are coming and it is normal because the world is turning digital. The digital dollar of the United States will be successful of course. But is this a threat to bitcoin? It is simple, the digital dollar is the same fiat inflationary centralized money while bitcoin is secure and decentralized. Maybe the question should be made the opposite because bitcoin is the real threat to this old centralized fiat system.

[EarnOnVictor]

When the Government will make a Digital Dollar It must be blockchain based.  And it will run on blockchain technology . Which Bitcoin has been using since 13 years ago. So when these digital dollars are created and released in the market, people will start to learn more about blockchain and people will become more interested in Bitcoin. So I think this will be a positive point for Bitcoin rather than a challenge for Bitcoin

The US government is being careful, which is why the digital USD has not been established yet. This might be a blockchain or another project, but either way, it would be a centralized project, and it will not be able to compare itself with Bitcoin which is decentralised. It will only wreck some online fiat payment systems if care is not taken because the US government would have given individuals the right to own their digital dollar that would be backed by the Federal Reserve.

[Odusko]

Well, many CBDCs are already expected to launch. They are coming and it is normal because the world is turning digital. The digital dollar of the United States will be successful of course. But is this a threat to bitcoin? It is simple, the digital dollar is the same fiat inflationary centralized money while bitcoin is secure and decentralized. Maybe the question should be made the opposite because bitcoin is the real threat to this old centralized fiat system.

There is a tin line between digital currencies (CBBC) and Bitcoin because Bitcoin plays multiple roles in the financial system, but the digital dollar is stable and not in the class of asset, while Bitcoin can be used as an alternative to the dollars, and also an asset the digital dollar, on the other hand, can only be used as a currency.
So instead digital dollar is a threat to Bitcoin I will say the reverse is the case but in this situation, it is a win-win since both the digital dollar and Bitcoin can co-exist

[Agbe]

I came across this on the news today, and I wonder if this will be a challenge to the growth of crypto in the united states with the government beginning to consider the digital dollar.

The White House is particularly targeting the proof-of-work transaction-validation process used by many blockchains, including bitcoin. This mechanism consumes huge amounts of energy because it requires a lot of computing power.

And with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue

Read here
Do you think with the level of civilization in the united states, that the digital dollar will be successful?

It will not be a threat to bitcoin because bitcoin is not  not competing with dollar, but I believe some countries are affraid to adopt bitcoin because of the dominant nature of it. The digital dollar will make things easier for bitcoin users because it will make transaction more easily. Many countries have already launched or created digital currency but most of them are not working. Citizens are not even using them to do any transaction. So they become redundant in the ecosystem. The existence of the digital dollar will be achieved but the different is always clear. Dollar is centralized system of service while bitcoin has a decentralized system of operation so there are of different uses.  
Like the Nigerian Enaira, since when it was launched I have not even open the app to see how it works but I only heard that there is Enaira but I am not using it. This case might different from dollar because dollar. But the number of users of bitcoin will still supersede dollar.

[Abiky]

Well, many CBDCs are already expected to launch. They are coming and it is normal because the world is turning digital. The digital dollar of the United States will be successful of course. But is this a threat to bitcoin? It is simple, the digital dollar is the same fiat inflationary centralized money while bitcoin is secure and decentralized. Maybe the question should be made the opposite because bitcoin is the real threat to this old centralized fiat system.

You can say that again. Bitcoin is really the threat of the digital dollar. Not the other way around. Governments (including the US) are afraid Bitcoin will take over the global economy, urging them to launch CBDCs of their own before they're left behind in the dust. I'd say they will succeed with the launch of the new digital cash system, but they will be unable to "defeat" Bitcoin because of its decentralized and censorship-resistant design.

In fact, I think CBDCs will be beneficial towards Bitcoin because they will increase awareness of digital currencies all around the world. People who haven't heard of or used crypto before, will get into Bitcoin when they hear paper money will be phased out of existence for good. Now the question would be whenever the USD will be able to retain its place as the reserve currency of the world right after it becomes a CBDC or fall all the way down the drain. If the US quickly launches its own CBDC system, then it's likely the US Dollar's position will remain unchanged. But be aware that China has already been the pioneer in CBDCs, launching the "Digital Yuan" before anyone else. It's a highly-competitive world out there, but at least we can be sure Bitcoin won't be going anywhere soon. Just my thoughts

[Minor Miner]

Well, many CBDCs are already expected to launch. They are coming and it is normal because the world is turning digital. The digital dollar of the United States will be successful of course. But is this a threat to bitcoin? It is simple, the digital dollar is the same fiat inflationary centralized money while bitcoin is secure and decentralized. Maybe the question should be made the opposite because bitcoin is the real threat to this old centralized fiat system.

There is a tin line between digital currencies (CBBC) and Bitcoin because Bitcoin plays multiple roles in the financial system, but the digital dollar is stable and not in the class of asset, while Bitcoin can be used as an alternative to the dollars, and also an asset the digital dollar, on the other hand, can only be used as a currency.
So instead digital dollar is a threat to Bitcoin I will say the reverse is the case but in this situation, it is a win-win since both the digital dollar and Bitcoin can co-exist

I really don't want to think that bitcoin is going to be a threat to fiat or the dollar, to be honest this is not good for bitcoin. It is this thinking that has led the government to be wary of bitcoin and even they are seeing bitcoin as an enemy, seeking to eliminate bitcoin from our lives. We still live in a world where the government is still controlling us, so don't try to fight them, bitcoin gives us freedom so we should take advantage of it, not show the government that bitcoin will replace their power. I like to think that the two will co-exist and be able to support each other.

[NicNacCoin]

Digital Dollar will not be a threat to Bitcoin at all. Earlier we saw that China launched its own currency but Bitcoin was not harmed.From here we can say that there will be no loss for Bitcoin no matter which currency it comes to.Those who will use bitcoins will not leave and use bitcoins in whatever currency they come in And even if the digital dollar comes, it can be beneficial for our Bitcoin, as if the transaction system is launched with Bitcoin, it will definitely be beneficial for Bitcoin.

[YellowWitty1]

No. Digital dollar is like a fiat currency that is only digital. It’s not a long-term investment like Bitcoin. Plus, Bitcoin has additional advantages over dollars. Dealing in bitcoins is more secure.

[Questat]

Both of them are in digital form, and this gives an option for the people which one to choose. As you can see, there is no threat to existing as it remains these two are just a sort of payment option to where people like to use it depending on the availability. In fact, we can't even say that ETH and other cryptocurrencies are a threat to Bitcoin also knowing that they all have their market role to play just like the digital dollar.

We also have Digital Yuan, it is to see that many countries will do the same creating their local currency in digital form just to give convenience to their netizens as well.

[inthelongrun]

Well, many CBDCs are already expected to launch. They are coming and it is normal because the world is turning digital. The digital dollar of the United States will be successful of course. But is this a threat to bitcoin? It is simple, the digital dollar is the same fiat inflationary centralized money while bitcoin is secure and decentralized. Maybe the question should be made the opposite because bitcoin is the real threat to this old centralized fiat system.

You can say that again. Bitcoin is really the threat of the digital dollar. Not the other way around. Governments (including the US) are afraid Bitcoin will take over the global economy, urging them to launch CBDCs of their own before they're left behind in the dust. I'd say they will succeed with the launch of the new digital cash system, but they will be unable to "defeat" Bitcoin because of its decentralized and censorship-resistant design.

In fact, I think CBDCs will be beneficial towards Bitcoin because they will increase awareness of digital currencies all around the world. People who haven't heard of or used crypto before, will get into Bitcoin when they hear paper money will be phased out of existence for good. Now the question would be whenever the USD will be able to retain its place as the reserve currency of the world right after it becomes a CBDC or fall all the way down the drain. If the US quickly launches its own CBDC system, then it's likely the US Dollar's position will remain unchanged. But be aware that China has already been the pioneer in CBDCs, launching the "Digital Yuan" before anyone else. It's a highly-competitive world out there, but at least we can be sure Bitcoin won't be going anywhere soon. Just my thoughts

Right mate. Visa, Mastercard, and there's Paypal and the online industry is becoming a norm with stores like Amazon and eBay becoming huge but we haven't heard of any governments creating CBDCs. CBDCs only came up serious when Bitcoin and some of the top altcoins like Ethereum became big from millions to billions and then they just continue to grow bigger reaching into a trillion-dollar industry. Governments and banks tried to stop the growth of Bitcoin before but to no avail. Big companies are starting to realize the value and potential and they are also starting to adopt. So someone tells us if Bitcoin is not a threat to this old inflationary centralized monetary system?

Bitcoin leads to the creation of CBDCs. And you're right mate, CBDCs can remain as primary currencies in this growing digital world but they also exposed their citizens to Bitcoin and crypto. Sooner or later, more and more people realized the importance of privacy and most especially the limited supply of Bitcoin compared to the unlimited fiat supply. The weakening of the US dollar's influence on the world market due to Chinese competition and the current arms race and mobilizations lead people to just select a decentralized currency like Bitcoin since it is not directly affected by politics.

[dlightag]

We are the Era of technology and information, which government are still in process to regulate cryptocurrency as a means of digital assets payment, which is applicable to digital dollar to Bitcoin that coming to a gradually process to reality as a means of word global digital assets not only in USA.

[eddie.gouws]

I came across this on the news today, and I wonder if this will be a challenge to the growth of crypto in the united states with the government beginning to consider the digital dollar.

The White House is particularly targeting the proof-of-work transaction-validation process used by many blockchains, including bitcoin. This mechanism consumes huge amounts of energy because it requires a lot of computing power.

And with everything else, the administration is pushing for a digital dollar, a kind of digital twin of the dollar, at a time when China has taken a step ahead on this issue

Read here
Do you think with the level of civilization in the united states, that the digital dollar will be successful?

There is no doubt that digital dollars pose a threat to bitcoin, as they offer all of the same benefits (anonymity, security, and lack of government control) while also being backed by established governments. This gives them an advantage over bitcoin in terms of trustworthiness and stability.

That said, there are some advantages that bitcoin has over digital dollars that could keep it afloat in the long run. These include its faster transaction times and lower fees. So it's likely that both currencies will continue to exist side-by-side in the coming years. As for how this will play out for online gambling sites like Stake Casino US, only time will tell!