Disclosure: The ideas and opinions expressed here are only for the author and do not represent the ideas and ideas of the editorial of Crypto.
A ban on digital assets makes more understandable as regulation against gravity. In 2017, on the news of the news on the news of China Bitcoin (BTC), how many times only took a dip to recover immediately on the attainment of perception of perception?
But while bitcoin, for all intentions and purposes, is unbearable, the same central bank can not be said about digital currencies – digital forms of and regulated national currencies issued by their central banks. In fact, this is one of their main qualities. Otherwise, governments could not put their citizens on a mischievous chair, when they prohibited their right to buy grocery goods and get out of the line.
To be fair, most governments are not as heavy as China, with its infamous social credit scoring and large -scale monitoring. Instead, they are trying to develop digital currencies for boring bureaucratic purposes, such as collecting more administrative efficiency and economic data.
Nevertheless, it is no coincidence that China has been one of the biggest supporters of CBDC and is moving forward with its own implementation. And so, it is no surprise that the United States, which easily affects every Chinese situation, should have canceled its digital dollar after President Trump laid Bainhar.
For China, there is a beautiful Yin and Yang-NE which is banning bitcoins and the US is banning CBDC. The self-catching cycle is complete. Trump decisionLike many people who “shoot first and ask questions later” from the government, somewhat reactionary. However, sometimes, the first shooting is the most clever thing you can, and in this case, Trump has hit the target.
America’s digital dollars are entitled to shoot – as every other Western nation. Not because the concept is wrong, but because the implementation is definitely. If billions of citizens have their data and financial assets being placed on a global database, it requires better privacy security than offering current proposals.
First domino falls
Trump’s decision to ban digital dollars is wrapped in all kinds of irony. Like their desire to count a strategic bitcoin reserve or with the case of potential real-world use, support a digital currency together as well as support a $ trump memecoin. But even his most vocal critics were very low to say about this mandate.
While the US was not a staunch lawyer for a digital currency in any way, many countries were very close to start their own efforts, the idea was very high on the table until Trump left the clothes. In becoming the first president to ban a CBDC, he has touched a domino which can cause other countries to follow the suit, and the reason is that people resonate with people.
While other Western nations, especially in Europe, prefer to maintain the notion that they do not have anyone’s guru, the uncomfortable truth is that American decisions increase a strong bridge over the European Union policy. Thus, the US curtailing of its own CBDC will make the case inevitably weakened for the European Union’s digital euro and investigate the renewed scrutiny of alleged privacy security. If the European Union wants to get its CBDC on the line, it will need to return to the drawing board first.
No secrecy, no problem
Despite being described as described digital euros as “cash as private”, this is not strictly true. For governments, non -governmental organizations and other shady organizations, citizens’ ability to achieve inappropriate insight into habits – and to sensor transactions or to “cancel” to customers completely – is very real.
It is not to suggest that digital euro backers are working out of poor confidence, which is more than poor technology. Blockchain develops rapidly, while the wheels of policy -making slow down, meaning that as long as digital currency pilots have been greenlights, the underlying technology is already tired. As anyone involved directly in the web3 will tell you, there are better ways to apply onchain privacy while maintaining compliance – methods that do not include the privacy of every citizen on a large scale database and then it Everyone broadcasts for the world to see.
From ZK proof to completely homeomorphic encryption, privacy standard has become more strong and rich in recent years, allowing fine disclosure of sensitive data, it is allowed to expose to centralized institutions and potential malicious actors Is left at risk. Seriously, onchain encryption standard is also very light, allowing more efficient calculations.
In fact, ZKS and FHE are types of techniques that ideally will be suited to facilitate the consequences of achieving the desires of the European Union to achieve the desires of the European Union, such as privacy such as privacy such as low-value Shopping is lightly examined and high-value. More intensive investigation.
The good news is that it is not too late to take measures: Digital Euro is still in an early stage, with its final implementation is still being done. It is time to get this right. If there is one thing that we have learned from the tornado which is the Trump administration, then it is that much can be achieved in a month. There is no need to move rapidly and break accessories.
But do not make any mistake, transfer the European Union and indicate that its own digital currency will be everything that is not proposed digital units and the world dollars: not safe. Personal. strong. Otherwise, it is being canceled, like CBDCs in the US.
