According to an article published today in Telegraph.co.uk Bank of England is pondering the launch of a digital cryptocurrency, linked to the pound.
A Bank of England-issued digital currency would potentially allow British citizens to keep their money - in digital form - with the central bank itself, dispensing with the need for a retail bank. Big-ticket transactions, such as buying a house, could happen in nanoseconds.
I'm seeing more and more of these news and I'm a bit confused, to be honest.
The use of blockchain technology doesn't necessarily mean we're talking about a decentralized cryptocurrency. All the state-owned banks are in fact talking about a centralized, permission-based ledger, which is something completely different from what Bitcoin, Ethereum and Steem are.
I'm happy to see blockchain adoption increased, but it's not the technology itself that sits at the core of Bitcoin-like ecosystems, but the permissionless nature of these ledgers, the fact that they are decentralized and not "owned" by anyone.
The more banks will announce their own "crypto-currencies pegged to the USD, EUR or GBP", the more skeptic will I be towards these projects.
I'm a serial entrepreneur, blogger and ultrarunner. You can find me mainly on my blog at Dragos Roua where I write about productivity, business, relationships and running. Here on Steemit you may stay updated by following me @dragosroua.
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We are going to see this as start of the cycle and more countries will follow this path
Blockchain can even used to utilize centralize cryto-currency, i guess it may still solve the problem of double spend.
I would not USE any Bank issued Garbage issued by the GOVT's. or BANKS that have Enslaved Humanity for Decades. I Love Crypto's but only the decentralized choices............ @dragosroua
that's right!
ripple is gov pumped
Better than the pound but worse than very decentralized crypocurrency I would guess
Is it like Ripple?
Dunno, no details revealed yet.
I hope not
We saw in the 2008 financial crisis that central banks are now the servants of commercial banks; the commercial banks are profligate, and the central banks are obliged to bail them out of trouble.
Although it may not be the vision of many in crypto-currency, removing commercial banks would be a major dis-intermediation of a national financial system, and would reduce the power of un-elected bodies (banks) to effectively spend taxpayer money on making themselves even richer and more powerful than they already are.
I dont think fiat will vanish anytime soon, it will just become the crypto in which you must pay your taxes, so overall, I think this is positive news.
And it is these exact crypto currencies that the masses will use, not the ones we have now.
Because they are backed by a bank. Most people are not anarchists. Most people don't care about the decentralised nature of a blockchain.
They'll want to get in on something like Bitcoin so they can make a killing. When a bank offers them an opportunity they'll grab it.
They probably don't care so much about blockchain as they don't want to give up control. The money we have is mostly digital anyway. What they can charge to move it around is grossly inflated.
wow, seems like the first wave of trying to "own" the blockchain and confusing the general populace about what it actually going on ... i think the government will ultimately fail because crypto is a fount where transparency is essential, and get it out of the hands of oligarchical shell games with money, currency, rates, debt, and capricious inflation.
If it's linked to the pound it's still fiat. If it's government controlled it can't be good. Blockchain is just a tool, it could be used for good purposes and for bad ones. Governments would love to eliminate cash and have the blockchain used as a tracking tool. You won't be able to buy a carrot without them knowing.
Would be huge!
Nice post
It's spam @rizalmahrez.
Don't this again.
True. This is just to reduce costs. More of the same ... The problem of profiting from the liberation of wealth only from the pre-existing wealth only becomes evident when there is no more wealth to free ...
It will be good for england's cityzens.
I think, Cryptocurrency is better than bank.
Thanks a lot for sharing your valuable content..Carry on your creativity ..Best of luck...
Are bankers afraid of Crypto/Digital Currency?
England is i think making a path to own Cryptocurrency's in more political way. Oh they forgot that none owns Crypto currencies but mass do.
Well i am really hope for the positive outcome which would see in 2018 fro sure.
Keep updating us with you quick news services.
Stay Blessed!
So like ripple?
Yes already have RIPPLE - see this https://steemit.com/bitcoin/@davemanchester/ripple-why-we-should-not-buy-it
It's very good news that'll help to grow up crypro currency issues!
I want to point out that newspapers were some of the first entities to set up websites on the internet only to have their clocks cleaned by them.
You are right...the setting up a crypto is not a token on a decentralized blockchain. It is taking their fiat currency, which is basically digital already, and throwing it on the blockchain. They still control it and can manipulate it very easily.
This is just another step in their demise and, very predictable. They will embrace what destroys them.
that is why they pump ripple so people sell their bitcoin to the ripple wagon and then dump it on them like hot summer trash ... I say play the double game jump on their wagon make a profit and buy back bitcoin while it is cheaper...stay focused cause it is a fast game...
like tic tac toc
money money money
gotta get that dough
It is easy to understand, the adoption of cryptos makes banks become somewhat obsolete, and it is normal that they take some measures to avoid it. So be twisting the spirit on which the cryptos are based
I think we all saw this coming. Banks are going to try to hop on the bandwagon of crypto because they want IN on the money. People aren't going to buy this stuff.
Meh, I don't necessarily see this as a bad thing. Lots of people using Government-backed crypto wouldn't be as great as if they were using something decentralized, but if it improves security, reduces costs, and speeds up transaction times, then I'm all for it. Plus - once people are used to their BigBankCoin, I think it would be much easier to sell them on real Cryptos.
Yeah I agree @dragosroua. To me it feels like an attempt to market the same old centralized tools, products and services using the latest shiny words. I'd hope the people understand the power inherent in the decentralized part of the tech and not fall for banking system dominance.
bitcoin be like but i am the mother currency of all lol :D
most countires will soon follow this path..