By Arsenio Toledo
The coming global economic collapse will come with it the quick adoption of central bank digital currencies (CBDCs) around the world
This is according to Clive Thompson, former managing director at Union Bancaire Privee, a private bank and wealth management firm in Geneva, Switzerland. He warned that this coming global financial crisis will start in one country and spread out all over the world. (Related: Investors are leaving the cryptocurrency industry en masse as collapse continues.)
When this happens, Thompson said, the countries severely affected by the crisis will close down their banks and implement CBDCs.
“You’ll wake up on a Sunday morning and hear the news that the bank’s not gonna open on Monday. And then, by Monday evening or Tuesday, you’ll get the announcement that we’re having a new currency, the CBDC, and don’t worry, it’ll be a wonderful one against the old currency,” said Thompson.
“But there’ll be some restrictions on your ability to convert your old money into the new money,” he continued, warning that the arrival of CBDCs will also be used as a means to demonetize physical currencies.
Governments ramping up efforts to develop and adopt CBDCs
Governments all over the world have been ramping up their efforts to develop and adopt CBDCs since 2021.
According to the Atlantic Council, a think tank with an expertise in international affairs, over 100 countries, dependencies and territories – or more than half of the global population – are actively exploring CBDCs and are in the research and development phases.
Only 11 countries have officially launched their CBDC programs. This includes the eNaira of Nigeria, the Sand Dollar of the Bahamas, the JAM-DEX of Jamaica and the DCash. The latter is the digital version of the Eastern Caribbean dollar, which is used in eight Caribbean nations – Anguilla, Antigua and Barbuda, Dominica, Grenada, Montserrat, Saint Kitts and Nevis, Saint Lucia and Saint Vincent and the Grenadines.
Many other countries, including China, Thailand and India, are currently in the pilot phase of their CBDCs, which means they are still developing the digital currencies but have launched them in some limited form for trials.
China’s digital yuan, despite still being in the trial phase, is the most successful CBDC in the world, with transactions surpassing $14 billion.
The United States itself is also developing a “wholesale” CBDC, according to the New York division of the Federal Reserve, which was spearheading the effort called “Project Cedar.”
In a white paper published last month, the New York Fed said it had already completed stage one of testing and supposedly proven that international currency transactions using a digital version of the dollar are not only feasible but can be done quickly and safely through the blockchain.
The New York Fed is expected to continue testing the digital dollar for at least the next six months, and it will likely be a year before any real money in the U.S. gets moved around on a CBDC network.
Learn more about the plan to implement CBDCs at MoneySupply.news.
Watch Clive Thompson’s full statement regarding the coming economic collapse and the arrival of CBDCs.