White House directs government to further explore CBDC technology

The White House last week directed government agencies and the Federal Reserve Bank, to explore the technology needed to implement a central bank digital currency (CBDC). 

A Central Bank Digital Currency (CBDC) is a digital currency issued and governed by a central bank. In the case of the United States, a CBDC would be a digital currency issued and controlled directly by the Federal Reserve.  

CBDC is similar to cash, which is backed by the Fed and whose value is manipulated by the Fed’s monetary policies.  

However, whereas cash transactions are anonymous, CBDC transactions are not. In fact, according to the Financial Times, CBDC would have to be tied to your digital ID. 

What CBDC research and experimentation appear to show is that it will be nigh on impossible to issue such currencies outside of a comprehensive national digital ID management system. CBDCs will therefore likely be tied to personal accounts that include personal data, credit history and other forms of relevant information. 

In March, Joe Biden signed an Executive Order on Ensuring Responsible Development of Digital Assets, which tasked his cabinet and various federal agencies with developing a framework for a CBDC and submitting related proposals.  

Last week, in its “First-Ever Comprehensive Framework for Responsible Development of Digital Assets,” the Biden regime stated that digital assets, such as decentralized cryptocurrency which is not under government control, “pose real risks.” The regime, however, will step in to “protect consumers, investors, businesses, financial stability, national security and the environment” by regulating digital assets.  

The Biden administration even plans to launch a propaganda campaign against digital assets. 

“The Financial Literacy Education Commission (FLEC) will lead public-awareness efforts to help consumers understand the risks involved with digital assets, identify common fraudulent practices, and learn how to report misconduct,” read the Fact Sheet. 

The White House also tasked the Department of Commerce with “establishing a standing forum to convene federal agencies, industry, academics, and civil society” to regulate digital assets. 

“Together, these recommendations comprise the first, ‘whole-of-government approach’ to regulating the industry,” crowed CNBC excitedly. 

The White House made a point of listing the benefits of a CBDC, which include the government’s ability to control it. 

“A potential U.S. CBDC could also help preserve U.S. global financial leadership, and support the effectiveness of sanctions. But a CBDC could also have unintended consequences, including runs to CBDC in times of stress.” 

The Fact Sheet said that “further research and development on the technology that would support a U.S. CBDC is needed,” and directed the “leadership of the Federal Reserve, the National Economic Council, the National Security Council, the Office of Science and Technology Policy, and the Treasury Department” to “meet regularly” to discuss their progress on creating and implementing a CBDC. 

Last week, Senator Ted Cruz (R-TX) slammed the government's “framework” and move toward a CBDC.

“Biden just released his crypto reg ‘framework’ encouraging the Fed to keep developing a CBDC, which the Fed Chair admits would destroy cryptocurrencies,” tweeted Cruz. “A CBDC would allow the gov to spy on us. Congress needs to pass my bill that stops the Fed from developing a CBDC now!”

In March, economist and World Economic Forum (WEF) Global Leader for Tomorrow Dr. Pippa Malmgren told an audience during the New World Order panel at the World Government Summit that the financial system is about to turn digital and remain totally under government control. 

“And what we’re seeing in the world today, I think is we’re on the brink of a dramatic change, where we’re about to – and I’ll say this boldly – we're about to abandon the traditional system of money and accounting, and introduce a new one,” Malmgren said, smiling.  

She went on to explain that the new financial system would be digital.  

“And the new one, the new accounting, is what we call ‘blockchain’. It means digital, it means having an almost perfect record of every single transaction that happens in the economy, which will give us far greater clarity over what’s going on.”  

Malmgren acknowledged that there would need to be a “balance of power between governments and citizens,” which is why she believes there would need to be a “digital constitution”.  

But Malmgren then continued to say that this digital blockchain financial system is the property of the world’s most powerful governments.  

“This new money will be sovereign in nature,” she said. “Most people think that digital money is crypto and private. But what I see are superpowers introducing digital currency. The Chinese were the first. The US is on the brink, I think, of moving in the same direction and the Europeans have committed to that as well.”