Goverments creating digital currencies - Threat or Opportunity?

[Tylev]

Some governments recently try to create their own crypto currencies (e.g. China), according to reports. Some welcome this as a good step towards mass adoption of cryptocurrencies, others don't like it. Still, the crypto media welcomes this and we should consider whether this is good news in general or not.

What would be your opinions be on this? Should more and more governments create their own digital currencies and introduce them to their population or should we not support the creation of digital currencies made by governments?

Governments creating their own digital currency is good for mass adoption but in the equation the problem is the politics involved in the process, it may affect at some point the image of cryptocurrency (we all know politics has not always a good influence in what they do).

The creation by states of their national stable coins will inevitably happen. These events simultaneously represent both a great opportunity for the cryptocurrency market and a great threat. The massive emergence of stable coins of various states also means an increase in interest and the further development of a decentralized cryptocurrency. However, there is a possibility that stable state coins will have good demand as a means of payment, and this will reduce the use of cryptocurrency as a means of payment. How this will happen in practice, time will tell.

[Arcas]

Become an opportunity if government created cryptocurrency and go ahead with listing in bigger exchange market or have own market, then keep continue promoting and looking best partnership for government coin, I think this way will make many investor love and want invest there with higher amount.

[cabron]

Become an opportunity if government created cryptocurrency and go ahead with listing in bigger exchange market or have own market, then keep continue promoting and looking best partnership for government coin, I think this way will make many investor love and want invest there with higher amount.

Its going to create more opportunity if its listed on exchanges. that would mean its besides the stablecoin created today there's also government backed digital currencies. It would be easier for anyone to buy BTC and trade that even a person who has no knowledge to trading can just buy coins and hold. There were news that releasing of these digital currencies will be in 2-3 years from now.

[barbara44]

Some governments recently try to create their own crypto currencies (e.g. China), according to reports. Some welcome this as a good step towards mass adoption of cryptocurrencies, others don't like it. Still, the crypto media welcomes this and we should consider whether this is good news in general or not.

What would be your opinions be on this? Should more and more governments create their own digital currencies and introduce them to their population or should we not support the creation of digital currencies made by governments?

Well, it’s kind of a positive move but as they say, there will always be a negative side to everything. I’m thinking this wouldn’t be good for the current cryptocurrency community. We all have known true cryptocurrency to be decentralized, which is what most of us here wants, a decentralized currency that gives us the freedom to do whatever they want and also send and receive money without the help of a middleman.

This is not what the cryptocurrency of the government would have to offer, rather it would be centralized and controlled by the government that issues it. Another thing is that it is likely to gain more adoption, since majority are interested in a currency that is issued by the government and sees others as scam.

[GmAdvice]

Yes this a big opportunity for bitcoin & blockhain, i am an indian and recently indian government has said that they will also create their own digital currency this will greatly produced massive adoption of digital currenices, in india, their are many benefits of digital currencies,

[Kasabus]

Yes this a big opportunity for bitcoin & blockhain, i am an indian and recently indian government has said that they will also create their own digital currency this will greatly produced massive adoption of digital currenices, in india, their are many benefits of digital currencies,

True. Governments creating their own digital currencies is not a big threat but rather a good opportunity because this will lead into a faster and massive adoption for crypto. People will be now taught how to use digital currencies for them to create cashless transactions which is more convenient compared to fiat transactions. And when the time comes that bitcoin will be develop as a legal currency, hopefully they will start using it too even as an alternative one.

[spike420211]

Your two facts contradict each other. If most of the projects do not pay, then the bounty cannot be called profitable for most people, due to the fact that the range of payments from the projects itself is already limited.
You claim that one of the 10 projects will give you a great pro, but I would like to see evidence of this statement. Unless of course you have them, otherwise these are empty words.

[South Park]

True. Governments creating their own digital currencies is not a big threat but rather a good opportunity because this will lead into a faster and massive adoption for crypto. People will be now taught how to use digital currencies for them to create cashless transactions which is more convenient compared to fiat transactions. And when the time comes that bitcoin will be develop as a legal currency, hopefully they will start using it too even as an alternative one.

It seems you are not seeing the threat, until not long ago governments were looking for ways to shut down cryptocurrencies but after they realized they cannot do that despite their incredible power they are moving to the next phase which is to create competition against cryptocurrencies, most people that are unaware of the real reasons for the existence of cryptocurrencies are not going to be able to tell the difference between bitcoin and those centralized cryptocurrencies and since those coins will be backed by the government and they are accustomed to use their fiat they will have no problem adopting those coins.

[ronbennett_]

True. Governments creating their own digital currencies is not a big threat but rather a good opportunity because this will lead into a faster and massive adoption for crypto. People will be now taught how to use digital currencies for them to create cashless transactions which is more convenient compared to fiat transactions. And when the time comes that bitcoin will be develop as a legal currency, hopefully they will start using it too even as an alternative one.

It seems you are not seeing the threat, until not long ago governments were looking for ways to shut down cryptocurrencies but after they realized they cannot do that despite their incredible power they are moving to the next phase which is to create competition against cryptocurrencies, most people that are unaware of the real reasons for the existence of cryptocurrencies are not going to be able to tell the difference between bitcoin and those centralized cryptocurrencies and since those coins will be backed by the government and they are accustomed to use their fiat they will have no problem adopting those coins.

Yes, Governments first said that it is a threat and now after they realized that it is not that easy to shutdown cryptos, they try to go an other path. We could compare it with the cold war but of course without bombs but with competitive products.

[bitbunnny]

I don't see that as a threat. Just the opposite, the fact that governments are creating cryptocurrencies is the sign they are experimenting with it and that they want to see what everything cryptocurrency have to offer and if they could be implemented into economy and financial system.
Although such governments coins are not very successful they are stil good for variety and for further development of cryptocurrencies and that is certainly good.

[seamusdorakos]

I don't see that as a threat. Just the opposite, the fact that governments are creating cryptocurrencies is the sign they are experimenting with it and that they want to see what everything cryptocurrency have to offer and if they could be implemented into economy and financial system.
Although such governments coins are not very successful they are stil good for variety and for further development of cryptocurrencies and that is certainly good.

It is a threat to other cryptocurrencies, but it is actuall a new opportunity for users

[FlightyPouch]

It is a threat to other cryptocurrencies, but it is actuall a new opportunity for users

It is the opposite, a threat to users and new opportunities for crypto currencies. Crypto currencies are made for the decentralization, not for this. The fact that they can made a crypto currency meaning they will be able to track users of it and that is the threat for the users.

[tvplus006]

In my opinion, the move to create their own digital currency is a positive development.
It means, that the government believes the benefits gained from this technology.
With their action, they are indirectly showing to its constituents that they trust crypto.
Which will then give a positive mindset towards crypto and so it will create more demand of usage.
I consider it as an opportunity to widen the usage of crypto and not a threat.
People later on will see the difference between a decentralized vs centralized coin.
So it will be their choice which one they will use when that time comes.

Digital currencies, in addition to mass introduction into everyday life, will allow the government to solve the problem associated with counterfeit money. In addition, it is an opportunity to reduce the costs associated with the issuance of fiat money and their maintenance.

[ronbennett_]

In my opinion, the move to create their own digital currency is a positive development.
It means, that the government believes the benefits gained from this technology.
With their action, they are indirectly showing to its constituents that they trust crypto.
Which will then give a positive mindset towards crypto and so it will create more demand of usage.
I consider it as an opportunity to widen the usage of crypto and not a threat.
People later on will see the difference between a decentralized vs centralized coin.
So it will be their choice which one they will use when that time comes.

Digital currencies, in addition to mass introduction into everyday life, will allow the government to solve the problem associated with counterfeit money. In addition, it is an opportunity to reduce the costs associated with the issuance of fiat money and their maintenance.

That is probably true but this is a positive argument for the government. They could also check the accounts of every citizen, see their transaction history, control what they do and at the end we would end up like the Social Credit System of China. In the end it eliminates privacy for normal people.

[metenjean]

If have connected with blockchain and bitcoin or altcoin own cryptocurrency created by government is good and potential for investing, but depend how serious of government after their coin have been publish and keep exist to public for continue and growing to higher price.

[tvplus006]

Back in October 2019, an appeal was signed with a proposal to create a digital dollar. And the concern of congressmen was caused by the fact that now more than 40 countries have started developing their own digital currencies. It is alarming that America may be the last in this race.

[iv4n]

Government crypto is like any centralised coin, supply will be changed when government wants it, government will control all the nodes, so they will be able to control transactions, reverse transactions, speed up some and stop other transactions, burn or add more coins, and so on.. People will be only users, users who follow the rules set by a government. All in all pretty much the same as we have this economic model, just with blockchain control can be harder.
It's a threat for people, governments will be able to control literally everything with their own chain. Opportunity for the people is a true decentralised project, and only that can make real changes on the global stage and for all the people of the world.

[joeperry]

I think it's a positive but I think it wouldn't be decentralized just like the cryptocurrency since they would not be able to control the value of it I think they would just create an extension of their currency, well i think it would just like an ordinary currency like online credits on their phones unlike the cryptocurrency it's a decentralized currency without anyone dictating its value or managed to control its value.

However the thereat is the volatility of the value of their currency if they implemented the decentralized digital currency.

[onrise]

Become an opportunity if government created cryptocurrency and go ahead with listing in bigger exchange market or have own market, then keep continue promoting and looking best partnership for government coin, I think this way will make many investor love and want invest there with higher amount.

This actually gives an opportunity to their country's citizen because it means government would be making it legal or it is legal already and such coins in long term would definitely do better as it is backed by government and in coming times government would be bringing it as a mode of payment for various business and would encourage other people also to make the digital payment. This would boost the demand of such coins and price will rise.

[dvmmayowa]

Some governments recently try to create their own crypto currencies (e.g. China), according to reports. Some welcome this as a good step towards mass adoption of cryptocurrencies, others don't like it. Still, the crypto media welcomes this and we should consider whether this is good news in general or not.

What would be your opinions be on this? Should more and more governments create their own digital currencies and introduce them to their population or should we not support the creation of digital currencies made by governments?

I believe its a great step towards blockchain adoption, although it will come with bits of centralization or even total centralization, still yet its an assurance that crypto is getting more recognition and really, its a good news for the industry.