CBDCs are somehow a promise to repair existing financial systems, but they are unlikely to change the general direction that central banks have already gone, say the founder and chief economist of the Saga project. They believe that CBDC is just a “change of packaging” for Fiats.
Saga: CBDC won’t help us much
As countries around the world move towards the digital currencies of the central bank (CBDC), many people from the cryptocurrency industry are increasingly firmly believing that these types of projects will help us change the world of finance for the better. Except that Saga experts are the opposite of
In conversation with Cointelegraph Ido Sadeh Man and Barry Topf – respectively the founder and chief economist of Saga, a project from the stablecoin market – warned of a wave of optimism about CBDC.
– It’s basically a change in packaging, a change in technology. Change is welcome – Topf described. – Basically it’s still there [CBDC] the fiat currency of one nation or entity – added.
Man thinks that although he is more optimistic than Topf when it comes to CBDC, he is still far from enthusiastic.
Saga is working on SGA stablecoin. Work began in December. The plans are ambitious. Experts want to build a really stable stablecoin that will be worth the attention of the wide market
“The trust we seek should not depend on the fact that we are better people than others. Should be systemic “
– Man explained. Topf, who worked for 13 years at the Israeli central bank, added that elements such as transparency and consensus will create the so-called “Killer app”:
“We were looking for a monetary model that would be more advanced and objective than any central bank could create. […] Some people look at cryptocurrencies and see technological innovations. We started working on it, looking for monetary innovation. “
Yesterday we also wrote about the digital euro (the entire text can be found here) that the Italian authorities want to test. One of the people who commented on the news on Twitter was Cezary Graf, who deals with property consulting. He partly shares the opinion of the experts from Saga. He believes that changing the euro into a digital payment unit will not solve the current problems of the EU currency.
And they will stay with this digital banana version of the euro
Strong countries will make their e-brand https://t.co/x9bw3Q0cdG
– Cezary Graf (@CryptoPoland) June 22, 2020