Trudeau’s Rival Pledges to Protect Cash Usage, Vows to Ban CBDC in Canada

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As a researcher with over two decades of experience in the financial sector, I have witnessed the evolution of currencies from physical notes to digital platforms. While the concept of Central Bank Digital Currency (CBDC) presents numerous opportunities for efficiency and innovation, I find myself aligning with Pierre Poilievre’s sentiments regarding the potential risks.

As an analyst, I can say that Pierre Poilievre, the Canadian Conservative leader, has chosen to voice his discontent regarding the creation of a central bank digital currency (CBDC) in Canada via a specific platform. He emphasized the importance of preserving cash usage and maintaining existing cash infrastructure, all while preventing excessive digitalization of the economy by the government.

Poilievre’s stance aligns with Bill C-400, proposed by MP Ted Falk in the Canadian Parliament. This bill criticized the Trudeau Liberals, Canada’s current ruling party, for encouraging the Bank of Canada to print approximately half a trillion dollars. This action, according to the bill, has resulted in inflation nationwide and has left citizens burdened with debt.

Additionally, proposing a centralized control of a new currency exclusively by the government might lead to increased ability to produce more money, potentially leaving Canadians without control. The argument presented suggests that a Central Bank Digital Currency (CBDC) should ideally be confined within the private sector, thus empowering citizens to make their own investment decisions.

Bill C-400 seeks to prohibit the introduction of a Central Bank Digital Currency (CBDC) within Canada, with the intent of preserving the accessibility of physical cash nationwide. This legislation proposes modifications to the Currency Act and the Bank of Canada Act in order to strip the government of its power to implement such changes. The bill’s text indicates:

As someone who has always valued individual freedom and financial independence, I strongly support the stance of Conservatives regarding digital currency. Throughout my life, I have witnessed the power of the private sector in driving innovation and providing consumers with diverse investment options. Allowing the private sector to handle digital currency without government intervention ensures that Canadians can make their own informed decisions about their finances.

The passage of Bill C-400 is uncertain due to factors such as the political climate, public opinion, and parliamentary discussions and evaluations, which could stretch from several months up to a year.

Some people have expressed appreciation for the perspective of Poilievre. Steve Saretsky, a well-followed investor on platform X, voiced his approval:

“Say no to CBDC.”

In his latest statement, the YouTube personality known as Pleb Reporter, who serves as a brand representative for Beaver Bitcoin and boasts an impressive following of approximately 79,000 people, expressed the viewpoint that money in physical form (cash) symbolizes power and also embodies liberty.

Canada’s Exploration of CBDC

Canada, similar to numerous other nations, is examining and developing strategies regarding the adoption of digital currencies, considering joining the worldwide movement towards Central Bank Digital Currencies (CBDC) and technological advancements in the financial sector. The country’s central bank is also engaged in investigating potential applications for CBDC.

A study published by the Bank of Canada in November showed that people generally prefer physical cash issued by their central bank and wish to keep using banknotes. Additionally, the bank found that individuals value their privacy, fearing it may be infringed upon by a digital currency.

Additionally, it came to light that apprehensions existed regarding the ease of use for digital dollars and the potential impact on financial stability, as it might not mitigate but instead augment existing risks.

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2024-08-12 17:15