Biden Exploring Creation of Crypto-Like 'Digital Dollar,' Says Report

[Celerity]

https://www.thedailybeast.com/biden-exploring-creation-of-crypto-like-digital-dollar-says-report



Who would’ve guessed that President Joe Biden is a crypto bro? According to reports, Biden will announce Wednesday that he’s setting up a group to explore if the U.S. should have its own crypto-like “digital dollar.”

The president will reportedly sign an executive order telling the Treasury Department, the Commerce Department, and other agencies to report back to him on the future of money and whether the U.S. should create a digital currency.

However, according to CBS News, the “digital dollar” would be different from cryptocurrency because it would have to be regulated by central banks. Even if the project gets the green light, it doesn’t sound like anyone will be spending digital dollars soon.

An unnamed official told Reuters: “We’ve got to be very, very deliberate about that analysis because the implications of our moving in this direction are profound for the country that issues the world’s primary reserve currency.”




Biden issues executive order to explore cryptocurrency-like digital dollar

https://www.cbsnews.com/news/cryptocurrency-biden-executive-order-digital-dollar/

[JCMach1]

1. We can put some major criminal operations out of business

Exchanging old currency for digital and then issuing NEW paper currency with no old paper to new paper transfer.

[JCMach1]

8. Not really if it's immediately exchangeable for new paper... no difference from your ATM account

India did something similar in 2016 without the help of digital implementation...

https://en.wikipedia.org/wiki/2016_Indian_banknote_demonetisation

Not picking particularly on you, but there a lot of anti-crypto people on DU who constantly throw about statements about crypto and crime. In reality, the vast, vast majority of crime takes place in good old paper cash. Doing something like I suggest would immediately torpedo any number of criminal enterprises that inhabit that paper cash space.

[Spider Jerusalem]

3. If this means "another cryptocurrency", this is a bad idea?

Bitcoin et al consume large amounts of energy because the cryptographic calculations required are very computationally intensive. This results in a lot of CO2 emissions.

https://news.climate.columbia.edu/2021/09/20/bitcoins-impacts-on-climate-and-the-environment/

[Sgent]

9. Yes but that's because

they use a decentralized ledger. If a US central bank created crypto coin used a centralized ledger it wouldn't need to secure itself against 51% attacks from adversaries because it would only trust central reserve banks (or FDIC banks, or whatever is selected).

[Amishman]

10. Only old Proof of Work crypto like Bitcoin are energy hogs, newer projects are much better

Many newer cryptos are Proof of Stake, like Cardano, Tezos, Solaris, etc.

A Tezos validation node can run on a cell phone or raspberry PI - not a room full of servers

[Patterson]

4. I don't like it.

[JHB]

5. My pay is digitally deposited to my bank account. I pay bills and shop over the Internet.

How is this "digital dollar" different from dollars I already get and spend digitally?

[Buns_of_Fire]

7. I see we're of the same mind (see below).

[Buns_of_Fire]

6. My SS benefit is direct-deposited.

I pay most of my bills online. On my few trips to a brick-and-mortar store, I use a debit card or a credit card (which is also paid online). I still write one check a month (rent). I haven't seen a dollar bill or a coin in months.

I might be there already, except the "digital dollars" I use are backed by the "full faith and credit" of the United States as opposed to the value of a whale fart.

[rockfordfile]

11. Terrible idea. We already have a chip shortage and prices on tech are high