The candidate for deputy governor of Indonesia’s central bank, who is also the current assistant governor, Juda Agung, is making fully transparent Indonesia’s stance on cryptocurrency. In fact, he just declared that CBDCs are a tool for fighting crypto. In effect, Indonesia is Waging a War on Crypto.
National pride may be their reason upholding fiat currencies over all others, and a CBDC is just another digitized form of fiat. But nationalism does not need to be tied to its currency. In fact, borderless, nationless currencies will help eliminate trade wars, and even outright war.
History is replete within nations fighting for currency dominance… such as the U.S. petrodollar and the war in Iraq. However, Bitcoin and other inflation resistant cryptocurrencies, are an escape tunnel out of inflationary fiat, where central banks are able to manipulate the currency supply through monetary policy. Often, the result of such policies are a loss of buying power for its people.
Like Indonesia, China too is developing a CBDC of its own called the digital yuan and has banned the use of cryptocurrency within its borders. By developing a CBDC of its own, China will be able to surveil it citizens financial activity, as CBDCs will offer no privacy protection.
Thus, with Indonesia is Waging a War on Crypto… it’s joining China by doing so.
And while the US Central Bank’s Fed chairman, Jerome Powell, declared that he has no interest in banning crypto, it is worth watching how crypto will be regulated in the United States, and if the US will follow suit by developing a CBDC of their own.
For more content on the impact of CBDCs, check out: Manufacturing the Anti-Crypto Cyber Pandemic.
